Felix is ​​expected to leave in January (Picture: Getty)

Joao Felix is ​​set to agree a move from Atlético Madrid in January, with Arsenal and Manchester United leading the race for his signature.

The Portugal international will leave the Spanish giants next month after failing to make his way to Diego Simeone. The 23-year-old forward cost €126 million when he moved from Benfica in the summer of 2019, but has struggled to adapt to the manager’s style and philosophy.

Atletico are now ready to cut their losses and have slashed their price tag, with an overall package worth €100m (£86m) enough to secure a deal.

However, with clubs unlikely to spend large sums in January, Atletico are now willing to accept loan offers with no obligation to purchase.

According to AS, Felix is ​​ready to leave next month, but is not ruling out staying at Atletico beyond the summer, as his long-term future at the club hinges on Simeone’s.

The report adds that Felix will leave the club permanently if the Argentine stays with Wanda Metropolitano next season.

United and Arsenal remain the “best placed” clubs to sign the former Benfica star in the coming weeks with a striker who is a priority for both sides.

Felix frustrated under Simeone (Picture: Getty)

Erik ten Hag wants to strengthen United’s attacking ability after the departure of Cristiano Ronaldo. The club would also be interested in signing Cody Gakpo from PSV Eindhoven, who values ​​the Dutchman at 50 million euros.

Arsenal are also considering another option, with Gabriel Jesus expected to be sidelined until March with a knee injury.

As The Gunners look to strengthen their January squad, Mikel Arteta has suggested moving Martinelli to striker, citing Smith Rowe as another possible option.

“Of course it’s a big blow to us,” Arteta said of Jesus’ injury.

“He is such an important player: he has brought something completely different to the team and it is impossible to replace him. But we have other players, other alternatives and we will try to do well. The transfer window is another option .

‘In my opinion [Jesus] is a unique player, but Eddie [Nketiah] also has incredible qualities for the way we want to play. We have other alternatives because we can also play Martinelli up front.

“We are currently missing the lead, but we get Emile [Smith Rowe] back will be great.’