The 25-year-old midfielder has been superb for Leicester this season.
Jamie Vardy has bagged the goals, while Riyad Mahrez has supplied them, but the 25-year-old French midfielder has also played a massive role in helping the Foxes complete their fairytale of winning the Premier League this season.
The France international, who has started 32 games of City's title-winning term, was reported by ESPN to be among the players who Wenger would target in a big-money spending spree this summer.
In February, the Gunners boss admitted that he knew about Kante long before his £5.6 million move to Leicester from Caen last summer (Sky Sports), but the 66-year-old refused to confirm or deny talk that he would act on his interest in the coming months.
"I think he will play in the European Championships and for me he was one of the players of the year in the Premier League," he said via Soccerway.
"I cannot tell you anything now. He is under contract with Leicester. I am sure if Leicester want to sell him, they will find some buyers."
Kante, in truth, has been different class this season and it may only seem like a matter of time before a bigger club snap him up, despite Arsenal being on course to finish well behind the Foxes this term.
But with the defensive midfielder set to represent France at Euro 2016, his stock - as well as his value - might well rise further and a move to Arsenal may seem small time compared to bigger clubs which might come in for him.