Eddie Howe’s Newcastle United have made a bid for Pepe, who is also on the radar of Mikel Arteta’s Arsenal, according to Globoesporte.
Globoesporte have reported that Arsenal and Newcastle are interested in signing Pepe from FC Porto in the summer transfer window.
The Gunners have not made an offer for the Brazilian winger, but their Premier League rivals Newcastle have.
Newcastle bid for Arsenal target Pepe rejected
The Magpies have offered Porto €35 million (£30.17m) for the 25-year-old, according to Globoesporte.
It has been turned down.
Porto have told Newcastle to pay at least €60 million (£51.71m).

Pepe’s release clause is €70 million (£60.33m).
What’s next?
It will be interesting to see if Newcastle United make a new bid for Arsenal target and FC Porto winger Pepe.
Pepe made 15 starts and 13 substitute appearances in the Portuguese league last season, scoring four goals and providing three assists in the process.
The Brazilian scored one goal in four Europa League matches for FC Porto.
Pepe can play on the left or the right wing, and he would be a good signing for Newcastle or Arsenal at the right price.
Arsenal do have a number of attack-minded players, and the Gunners may not be willing to spend €60 million (£51.71m) on Pepe.
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