Spanish giants Real are prepared to offer Liverpool £20million plus Argie striker Gonzalo Higuain for Luis Suarez.

Arsene Wenger’s Gunners have been chasing both Suarez and Higuain but could now lose out on their transfer targets.

Arsenal were confident of landing Liverpool’s sought-after front man for £40million.
This was despite having a £35m offer rejected and Kop boss Brendan Rodgers insisting he will not sell his 30-goal top scorer for anything less than £55m.