The Blues and the Gunners will reportedly be involved in a battle for the signature of the Red Devils prodigy.

Manchester United is on the verge of losing Andreas Pereira to its Premier League rivals. The 23-year-old Brazilian will be out of contract at the end of the season and, as a result, is open to agreeing on a pre-contract with a suitable club in January should he receive a convincing offer.

Nonetheless, with Manchester United yet to offer the midfielder a new contract, the club is said to be considering the prospect activating the clause in his old contract that will extend his stay by another year. Andreas Pereira, despite impressing in two loan spells in the Spanish La Liga, has failed to break into the Manchester United first team following his return.

After being assured of playing time by Jose Mourinho prior to the start of the season, the Red Devils' academy graduate has starred in just seven matches in which he has started just two.

According to the Mirror, both Chelsea and Arsenal may swoop in for Pereira's signature as he has his heart set on staying in the English Premiership. The likes of AS Monaco, Inter Milan and Valencia are all said to be keeping tabs on the out-of-favor Brazil midfielder. 

Pereira's asking price is reportedly set at £10million considering the number of months left on his current contract.