Arsenal are ready to pounce for the Brazilian forward by making a bid in the region of £45m.
The Gunners are on the lookout for a replacement for the Chilean forward Alexis Sanchez, who is on the brink of completing a £30m move to Premier League rivals Manchester United, while the future of Mesut Ozil also remains doubtful.
Malcom, 20, has emerged as one of the European football’s hottest prospects this season, with his current form for the Ligue 1 outfit drawing the attention of the likes of Manchester United and Tottenham Hotspur.
However, Goal Brazil claims that the north Londoners have beaten their league rivals to the Brazil Under-23 international’s signature and are hopeful of finalising the deal in the coming days.
Malcom’s agents are likely to be present in England over the next 48 hours, with Gunners willing to offer Malcom a five-and-a-half-year deal at the Emirates Stadium.
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The attacker has scored seven times in 19 Ligue 1 appearances so far this season.