Arsenal’s hopes of landing Julian Alvarez this summer have been dealt a significant setback, with reports from Spain claiming the Argentina international has already committed to joining Paris Saint-Germain.
The 26-year-old striker, who has impressed since leaving Manchester City for Atletico Madrid, had emerged as a prime target for the Gunners. TEAMtalk’s transfer insider Graeme Bailey first highlighted Arsenal’s interest back in January 2026, noting that Alvarez was open to a fresh challenge in the summer.
Sources indicated at the time that Arsenal had made initial contact through intermediaries. The club’s admiration for the former City forward – a winner of two Premier Leagues, one FA Cup, and one Champions League during his time in Manchester – has only intensified in recent months. Mikel Arteta and sporting director Andrea Berta are understood to view Alvarez as a high-quality addition capable of elevating their attacking options.
However, Arsenal now face stiff competition. Barcelona have been linked with a move to replace the ageing Robert Lewandowski, while Paris Saint-Germain have also shown strong interest. On May 12, Graeme Bailey reported that PSG manager Luis Enrique is personally keen on the striker, who is valued at £100million (€115.5m, $135m) by Atletico Madrid.
Arsenal appeared prepared to meet those demands. The club were reportedly willing to pay the full £100m fee and satisfy Alvarez’s personal terms. Yet, according to well-placed Spanish journalist Jose Antonio Martin Otin – better known as Peton – the deal is effectively already decided in favour of the French champions.
Speaking on Cadena COPE, Peton delivered a blow to Arsenal fans: “He’s a player who’s already been transferred to PSG.”
The former SD Huesca midfielder was full of praise for Alvarez, describing him as someone who “never lets you down in important matches” – a trait that would have made him particularly appealing to Arteta as Arsenal chase major silverware.
Atletico Madrid yet to approve Julian Alvarez deal
Despite Peton’s assertion that Alvarez has his heart set on a move to PSG, the situation remains fluid from Atletico’s perspective. The Spanish club has not yet sanctioned the departure, and Peton outlined three potential paths forward.
The first scenario involves negotiating a “monumental transfer” – potentially one of the biggest deals of the season. The second option is to dig in their heels and refuse to sell Alvarez, even against the player’s wishes. The third possibility would see Atletico demand players as part of any deal, with Peton suggesting the club could realistically ask for around €100million plus assets such as Desire Doue and Lucas Hernandez.
For Arsenal, the latest developments represent a major disappointment. Having identified Alvarez as a key target and shown concrete willingness to match his valuation, the Gunners must now regroup and consider alternative options as the summer transfer window approaches.
While nothing is ever fully concluded until contracts are signed, Peton’s confident claim that Alvarez has already been transferred to PSG suggests Arsenal’s long pursuit may be nearing an unhappy end. Arteta and Berta will be forced to accelerate plans elsewhere if they are to strengthen the squad in time for what promises to be another challenging campaign on multiple fronts.