Arsenal and Chelsea are leading the race to sign 28-year-old Fulham defensive midfielder Joao Palhinha, with Liverpool dropping their interest.

According to a report by TEAMtalk, Arsenal and Chelsea are keen on having Joao Palhinha in their ranks. The 28-year-old midfielder is looking to join a bigger club in the upcoming transfer window. And with Liverpool withdrawing from the race, the Gunners and the Blues are two potential destinations for the Portuguese international.

Joao Palhinha: The Story So Far At Fulham

Palhinha arrived in England in the summer of 2022 as Fulham paid £20 million to acquire his services from Sporting CP. Since joining the West London club, he has gone from strength to strength. On the back of an impressive debut season, Bayern Munich were keen on signing him in the summer.

The German giants came very close, but the deal fell off. Post that, Palhinha has penned down a new deal. But a move in the winter still can’t be ruled out, given the amount of interest in his services and the player’s desire to join a bigger club.

Palhinha’s representatives have approached multiple top clubs as they seek a new destination for their clients. They offered the Portuguese international to Liverpool. But it seems the Reds have withdrawn from the race.

Liverpool Out of the Race: Where Will Palhinha Land?

Jurgen Klopp is quite happy with Wataru Endo’s performances, and he does not feel the need of signing another defensive midfielder. Moreover, the price tag of the 28-year-old is beyond their spending limit for the winter, and they have no intention of entering a bidding war. With Liverpool out, Chelsea and Arsenal are now leading the race for his signatures.

The Blues were approached by his representatives, and they are keen on having Palhinha in their ranks. Mauricio Pochettino has made it clear that he wants reinforcement in the winter, and the Portuguese midfielder is one of his targets.

Chelsea are willing to offload players to make room for new ones, and they can surely go big again in the winter. Meanwhile, Arsenal have recently entered the race for the 28-year-old’s signatures. The Gunners want another defensive midfielder despite having signed Declan Rice in the summer.

Arsenal want someone who can form a double pivot in the centre of the park alongside Rice, and Mikel Arteta feels Palhinha could be an ideal choice. With Thomas Partey’s future uncertain, signing the Fulham midfielder could surely do wonders for them.

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