The Sunday Express says Illarramendi is desperate to join Arsenal but may have to settle for a switch to Athletic Bilbao if he wants a move this month.
Arsenal have been heavily linked with a £24m bid for the midfield star who has seen his first-team opportunities limited at the Bernabeu.
But reports in Spain insist that the Gunners are not willing to bring Illarramendi to England until the summer.
And that could be a problem for the 24-year-old with the arrival of Lucas Silva from Cruzeiro sure to push him further down the pecking order.
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