The Sun reported that the 22-year-old will be brought in by Arsene Wenger as part of a deal which will see Sanchez move to the Etihad.
Arsenal manager Arsene Wenger has admitted he would be open to taking a job with an global team when he finally brings an end to his stay in London.
"That's as well sometimes you know, you make a sentence and people turn it the way they would like to see it".
Arsenal fans protested against a new contract for Wenger throughout the last season
Sanchez and Ozil don't pull their weight when the going gets tough and Arsene Wenger should axe them at the Emirates, according to Sky Sports pundit Charlie Nicholas.
"Maybe, yes, I will do it at some stage but until now I like to be involved every day, in the life of the club because the real test is there", he said when asked about the prospect of managing a national side.
Neither Ozil or Sanchez has come close to producing their best form this season and the duo were largely anonymous in the 3-1 defeat at Manchester City before the global break.
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"[Managing a team for] Four or five weeks, it's a different experience, it's more concentrated".
Arsenal will again try to sign Manchester City's English winger Raheem Sterling in the January transfer window in order to reinforce their attack, which is all set to lose two of their key players, Alexis Sanchez and Mesut Ozil in the near future.
Wenger said he was determined to carry on in club management for as long as possible because he loves working with players on a daily basis.
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"Do we let anyone go in January? We'll have to think about that to see where we stand at the end of December".
Conte concerned by Manchester City's breakaway lead
The football is odd , it is very hard now to predict who will win. "But I think the six top teams in England have to try". The reality is that Manchester City is a really unsafe team, not just England but the world.