The Gunners and Blues have been strongly linked with the Germany international, who most recently showcased his talents at the 2014 World Cup where he helped Die Mannschaft to lift the coveted title in Brazil.
Arsenal were even believed to have already agreed a fee with the Galacticos, leaving only personal terms to be thrashed out, although the playmaker’s representative, Jorg Neubauer, says that is not the case.
“We are not in talks with Arsenal,” Neubauer is quoted by the Daily Telegraph.
“I don’t think a fee can have been agreed, otherwise I would have been told.
“When a club have an interest I am sure they will call me and we will speak about things. The same goes for Chelsea.”
Neubauer then went on to reveal Khedira, who has one year remaining on his current contract at the Bernabeu, has already begun talks with Madrid over a new deal, but that any agreement will only be made when he returns from holiday.
“We are talking to Real Madrid about his contract, but nothing is close to being decided,” the agent continued. “Sami has just returned from the World Cup and has gone on holiday.”