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Liverpool and Arsenal have both been linked with Michael Olise, but their hopes of bringing the Bayern Munich winger back to the Premier League have suffered a significant blow.

The France international remains one of the most sought-after attackers in Europe, and both English clubs have monitored his situation closely.

However, the latest indications suggest Olise is more excited by the prospect of moving to Spain, with Real Madrid increasingly viewed as his preferred destination.

That does not completely rule out a Premier League return, but it clearly makes life more difficult for Liverpool and Arsenal.

Olise more attracted by Real Madrid move

Bayern insider Christian Falk has reported that Olise prefers the possibility of playing in Spain, although he does not believe a return to England is impossible.

Liverpool have long admired the 24-year-old, while Arsenal are currently monitoring his contract talks with Bayern as they assess options on the wing.

Real Madrid, though, appear to be the biggest threat.

Recent reports in Spain have differed over whether Madrid are still prioritising Olise or focusing instead on Erling Haaland, but AS maintains that the Bayern star remains firmly on their radar.

Bayern are trying to extend his contract beyond 2029, with negotiations around a possible release clause becoming particularly important.

Olise preference is bad news for both Liverpool and Arsenal

Michael Olise celebrates a goal for Bayern Munich (Photo by Alexander Hassenstein/Getty Images)

For Liverpool, this is frustrating because Olise would be an ideal long-term wide option: creative, left-footed and proven in the Premier League.

Arsenal’s interest also makes sense. FootballTransfers recently reported that the Gunners are closely following his Bayern contract situation after deciding not to sign another winger during the summer.

The problem for both clubs is player preference. If Olise genuinely sees Madrid as his dream move, neither Liverpool nor Arsenal can solve that simply by offering more money.

Bayern also remain in control. They want to make him one of their highest-paid players and could attach an enormous release clause to any new deal.

For the English clubs, the smart approach is to stay informed without building their entire transfer strategy around him.

Olise would improve either team immediately, but right now Real Madrid appear to have the emotional advantage and Bayern still hold all the contractual power.

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The post Liverpool and Arsenal suffer transfer setback as winger prefers move to Real Madrid appeared first on CaughtOffside.