Chase for Xabi hots up: Fenerbahce and Arsenal ready £16m bids?

According to reports in Spanish sports daily AS, Fenerbahce are preparing a bid in the region of 20m euros (£16.5m) for Xabi Alonso. Whereas closer to home, The Daily Telegraph reports that Arsenal are considering a £16m bid as they step up attempts to replace Mathieu Flamini despite Villa's suggestions that the Gunners could enter the race to sign Gareth Barry.

One thing is certain is that Benítez has been keen to offload the Spaniard to fund Gareth Barry's protracted £18m transfer from Aston Villa. Alonso had been on the verge of a big-money move to Juventus but the protracted negotiations finally stalled over the Italians' reluctance to meet Liverpool's €20m valuation. Juventus boss Claudio Ranieri confirmed yesterday that the £7.8m signing of Danish midfielder Christian Poulsen meant their quest for midfielders was over. Ex-Liverpool man Momo Sissoko also added that Xabi is happy in England and he doubted they would be reunited in Italy.

Following his triumph at Euro 2008, Luis Aragonés is looking to his Euro 2008-winning squad as he begins his reign in Turkey. Having completed a €15m deal for Mallorca striker Dani Guiza, Aragonés is apparently keen for further Spanish reinforcements before they kick off their Champions League qualifying campaign at the end of this month.

The article (in Spanish) cites reports in the Turkish press although one must consider the limited resources at Aragonés' disposal. AS reports that the Guiza deal was in the region of €15m - a Turkish record fee - and will be paid by a €3m payment upfront, with the rest paid in 18 instalments. It remains to be seen whether Liverpool (or more importantly) the player would accept such a proposal for any deal for Xabi. As for Arsenal's interest, Liverpool would be wary of selling to a direct rival and strengthening an Arsenal midfield weakened by the departure of Flamini and imminent exits of Hleb and Gilberto. Benítez may be forced to accept a lower fee from overseas to avoid this and after refusing to reduce the asking price for Juventus.

Benítez must tread carefully as the player is still contracted to the club until 2012 and cannot be forced to leave the club. Furthermore, the continuing speculation is in danger of undermining the player's relationship with the club. If he does stays, Alonso will have a vital role to play during the absence of Javier Mascherano and Lucas Leiva during the Olympics this August.

One thing must be recognised: any deal for Gareth Barry is reliant on Alonso's departure. Watch this space over the coming days - do not discount a part-exchange deal with a La Liga club involving known targets such as Espanyol's Albert Riera, Real Madrid's Ruben de la Red or even Valencia's David Silva as Rafa is keen to conclude the Barry saga.