Arsene Wenger's first attempt at signing the Germany international is way off the player's reported release clause.
Germany's Shkodran Mustafi celebrates with teammates after scoring
Last season's Premier League runners up are said to have bid £15 million for the player, as they look to make additions to a squad that is without Per Mertesacker for the early months of the new season.
But the bid has been rejected by the Spanish outfit, who value Mustafi much higher.
Germany's Shkodran Mustafi
The Valencia defender is one of Europe's top young central defenders and is already an important member of Jogi Low's Germany squad.
He scored in his country's 2-0 win over Ukraine in the European Championships this summer, his first goal in 13 appearances for the World champions.
At just 24-years-old, Mustafi is only likely to find himself becoming more integral to his country, which will in turn mean his value, and the quality of his potential suitors will increase.
Arsenal manager Arsene Wenger in the stands
It remains to be seen whether Arsene Wenger returns to the La Liga side with an offer more in line with their valuation of a player they signed from Sampdoria two summers ago.
But with reports circulating throughout the media, such as via Sky Sports, that Valencia are asking for around £25 million plus significant add-ons for a player who has a rumoured £42 million release clause, it is clear the Frenchman will have to urge the board to be a little more loose with the purse strings if the Gunners are to get their man.
Arsenal are right to try and sign the player for less than his release clause, but considering the figures being spent in the Premier League these days, what is most important is that Wenger makes sure he brings in quality when it is available.
Picture Supplied by Action Images - Arsene Wenger