The England forward looks destined to leave the Emirates Stadium either this month or in the summer having struggled for first-team opportunities this season, failing to start a Premier League game so far this term.
A host of clubs appear ready to offer the 28-year-old a way out of North London, including his former team Southampton and West Ham, but the Toffees could jump to the front of the queue by tabling an opening offer.
The Telegraph claims they are ready to bid £20million and offer Walcott a pay package which would match the £110,000-per-week he is currently earning with the Gunners.
Everton boss Sam Allardyce is hoping to persuade Walcott to make the move to Merseyside by stating that he can help resurrect his career, while also offering him an outside chance of making England’s World Cup squad.
Hibernian head coach Neil Lennon claimed referee John Beaton failed to protect his players from 'disgraceful' challenges during a 1-1 draw with St Johnstone.
St Johnstone manager Tommy Wright has accused Neil McCann of deflection tactics as he denied reporting the Dundee boss to the Scottish Football Association.