Arsenal and Liverpool target Newcastle's Cabaye The Express reports that Liverpool are set to battle with Arsenal for Newcastle United’s French midfielder Yohan Cabaye in January. The 27-year-old was subject to a bid from Arsenal on transfer deadline day but was rejected by Newcastle as the valuation of the player was not met. Liverpool are now interested in the player to help maintain their impressive start to the season. Liverpool are not short of midfielders but may feel they lack quality. In the first real test for the club away from home they were outclassed by the Arsenal midfield and were deservedly beaten 2-0. Henderson missed two golden opportunities to score in the defeat and Lucas was guilty of giving away possession cheaply. Cabaye would give Liverpool much needed class and quality in midfield but the chance of Champions League football with Arsenal may be the deciding factor for Cabaye. Newcastle United value Cabaye at around £18 million and would not be willing to sell for any less. They took a hard stance with Arsenals first bid for the player and publicly criticised Arsenal for the timing of the bid and for the amount in which they offered. Arsenal bid for the player a day before Newcastle United’s away match at Manchester City, a game in which they were convincingly beaten 4-0. Alan Pardew commented after the game that Cabaye was not fit to play as his head had been turned by Arsenals bid and he wanted to join the London club. Newcastle may not want to do business with Arsenal after the handing of the first bid which could hand Liverpool the advantage in their pursuit of the player. Cabaye has been in good form since returning to the team and was instrumental in Newcastle United’s 2-0 victory over Chelsea.