Barcelona have reportedly withdrawn from the race to sign Atletico Madrid forward Julian Alvarez after being informed of a valuation ranging between €100 million and €150 million. According to reports in Spain, including Mundo Deportivo and Sport, the Catalan club has deemed the deal "practically impossible" due to their ongoing financial constraints and has instead pivoted toward Chelsea's Joao Pedro as a replacement for the departing Robert Lewandowski. This exit leaves Arsenal and Paris Saint-Germain as the primary contenders for the 26-year-old Argentina international, who only joined Atletico from Manchester City in August 2024 for an initial fee of €75 million plus €20 million in add-ons.
Arsenal interest and tactical fit
Arsenal manager Mikel Arteta has reportedly maintained a long-standing interest in Alvarez since their shared time at Manchester City, where the forward won a treble before moving to the Metropolitano. While the Gunners addressed their central striking needs with the €100 million-plus arrival of Viktor Gyokeres in 2025, Arteta is understood to view Alvarez as a versatile high-calibre option for the left flank rather than a traditional number nine. This recruitment strategy aligns with Arsenal's recent trend of pursuing multi-positional attackers to provide tactical flexibility in the final third. However, the club must navigate a crowded wage bill and the potential for a bidding war with PSG, who are also monitoring the forward despite claims from Spanish analyst Jose Antonio Martin Otin that a move to Paris is already advanced.
Atletico Madrid's firm valuation
Despite Alvarez being under contract through June 2030, Atletico Madrid's firm €150 million asking price reflects both the player's elite pedigree—having won the World Cup and Champions League by age 24—and the length of his deal. Speaking on the player's future, transfer expert Matteo Moretto stated that while Atletico want the forward to stay, the decision ultimately rests with the individual. "The lad is happy in Madrid," Moretto noted, "if the player wants to leave, he has to come forward, explain that it's his decision." Given that Alvarez is coming off a trophyless debut season in Madrid, reports suggest he may be open to a move to a club with more immediate title prospects, though any suitor will likely need to break their internal transfer record to secure his signature.
Negotiations are expected to intensify as the summer window approaches, with Arsenal needing to balance the substantial fee against their current PSR standing.