A number of clubs including Watford, Newcastle, West Brom and Brighton had been put off by the Gunners’ original asking price of £15m. Sky Sports even reported in July that the Baggies actually had a £10m offer turned down by Arsenal for the defender.
With the transfer window closing in the next seven days, and the fact that Gibbs’s contract has under 12 months to run, it means that the London club are being forced to cut their losses on the 27 year old.
Watford are believed to be favourites to sign the England international now the price tag has been dramatically lowered, while it could also attract a number of other Premier League sides back into the mix.
A major concern for Arsenal though will be whether Gibbs is willing to take a pay cut on his £80,000 a week wages. The full back could still choose to sit out the remainder of his contract until next summer.