Paper Round: Riyad Mahrez rejects Leicester contract as Arsenal and PSG prepare to pounce

Leicester City forward Riyad Mahrez has knocked back a contract extension, according to The Sun. The report clams the midfielder has turned down a new deal, with Arsenal, Barcelona and Paris Saint-Germain all keen to land the Algerian, a key man in Leicester's title-winning success. Claudio Raineri has remained confident the player will stay, but Mahrez reportedly wants an opportunity at a bigger club.

Paper Round's view: Losing Mahrez is a massive blow any chance of Leicester picking up where they left off last season. The best they can hope for in a situation like this is that receive a good fee in return and manage to find a half-decent replacement. But like N'Golo Kante heading for Chelsea, it will be difficult to attract a suitable replacement.

Mario Gotze is set to make a stunning return to former club Borussia Dortmund, according to the Daily Mail. The report says that the 24 year old has been unable to hold down a regular starting slot at Bayern. His former club Dortmund have offered him a five year deal and the Bundesliga champions £23 million to re-sign the winger.

There was substantial Premier League interest in the German international. Liverpool are managed by his former boss Jurgen Klopp, but it seems unlikely he will opt for a reunion with Klopp.

Paper Round's view: This deal is moving closer and closer to completion, and potentially a blow to Liverpool in that Klopp's star power wasn't enough to get this over the line. While Sadio Mane is a good buy regardless of his price tag, it shows how much work the former Dortmund manager has on his hands to rebuild the Liverpool with the competition fierce to land the continent's most coveted figures.

Arsenal are trying to land Carlos Bacca ahead of London rivals West Ham, according to the Sun. The Gunners have reportedly moved in for AC Milan's Bacca, just as West Ham have been trying to thrash out a deal with the Serie A giants. West Ham are said to have bid £25 million for Bacca, but will face some late competition in Arsenal and Napoli who are also said to be keen.

Paper Round's view: Arsenal appear to be entering a panic phase in their transfer window. It looks like Juventus have moved to the head of the pack in the race to sign Gonzalo Higuain. Arsenal appear to be grasping at whatever's left that's up for grabs. It's a hasty and potentially dangerous way to conduct business. For their sake, let's hope they have other moves lined up.

Manchester City are considering a £7 million move for PSV'S Jeroen Zoet, according to the Daily Mail. Pep Guardiola is looking for a back-up keeper to challenge Joe Hart, who after a few average seasons and a poor Euro 2016 tournament is looking more and more uncertain as the club's current number one. City are weighing up the move, as they wait and see on Barcelona's Marc-Andre ter Stegen before moving in for Zoet.

Paper Round's view: A left-field option from Pep and City, but remember that Pep requires a sweeping goalkeeper who can play out with his feet. Dutch football is well-renowned for producing a good technical standard of player, so expect a few other keepers in the Eredivisie to be monitored by Guardiola.