Dembele joined Barcelona last summer for an initial £96.8m but injuries and poor form saw him fall out of favour with the Catalan giants.
Reports of Arsenal bid for Barcelona forward Ousmane Dembele false. As previously reported incoming business completed a month ago. Were open to exceptional deal if chance arose (admire & have links to Dembele) but never realistic. #AFC optimistic on Ramsey contract but not close— David Ornstein (@bbcsport_david) August 9, 2018
There have been plenty of rumours suggesting that he will be on his way out this summer and Arsenal were said to be one club who were interested in snapping up the 21-year-old.
Spanish news outlet Mundo Deportivo reported that Dembele was set to be the subject of a late bid from Arsenal, with the Gunners looking to pay £10m to sign the winger on loan for the season. The north London side were then said to be looking to pay a further £90m next summer if they wanted to sign him on a permanent basis.
However, BBC correspondent David Ornstein claimed these rumours are false and that Arsenal completed their transfer dealings a month ago. He also suggested that Arsenal may have been been interested in a deal but bringing in Dembele was never a realistic aim.
The news may come as a blow to Arsenal fans who would have seen Dembele as their marquee signing this summer. It hasn't been all doom and gloom this summer for the north London outfit and they have already strengthened their current squad with the likes of Bernd Leno, Stephan Lichtsteiner, Sokratis Papastathopoulos and Lucas Torreira.
Arsenal already have plenty of options in attack, so the fact that they won't be making a bid for Dembele should't be too much of an issue.