Brasileiro league winners Cruzeiro have rejected a second bid from Real Madrid for midfielder Lucas Silva, according to various Brazilian news outlets.

Manager Carlo Ancelotti informed the media a week ago that the Spanish club would not address the potential transfer until after Christmas. But Cruzeiro’s director of communications confirmed an initial bid of 13 million euros (£10.2 million) from the La Liga giants shortly thereafter.

Now it is being reported that a second bid from Real Madrid has been rejected by the South American club.

Cruzeiro is adamant that they will not sell the 21-year-old starlet for less than 15 million euros (£12 million).

Meanwhile, there is a confirmed offer for the young Brazilian player on the table from Arsenal. According to reports, the English side have met Cruzeiro’s asking price for Silva.

Manager Arsene Wenger sees the Brasileiro league’s defensive midfielder of the year as solution to his side’s issues in front of the back four. But it is understood that Silva is asking Cruzeiro to hold out for an increased offer from his “dream” club, Real Madrid.

The Brazilian news outlet MG Superesportes is also reporting that Silva’s current club is attempting to renegotiate the midfielder’s current contract.

Silva’s father has insisted that he would like his son to remain at the club (whose season ended ten days ago) until the summer of 2015. The midfielder himself has requested to remain with Cruzeiro until the completion of the Copa Libertadores

But it’s understood that if a deal goes through with either Arsenal or Real Madrid, both clubs would expect the player to leave for Europe as soon as the transfer is completed.

Although Carlo Ancelotti is concerned that the 21-year-old Brazilian won’t be able to adjust to Spanish football right away in January, the manager feels that Silva would be his best option in order to give midfielder Toni Kroos some much needed rest.

Arsene Wenger sees Silva as the defensive presence in Arsenal’s midfield that has been missing for the past few years.