The 29-year-old enjoyed the most prolific season of his career in 2024-25, scoring nine goals and providing six assists in his 44 games across all competitions.
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According to Africa Foot, Spanish giants Atletico Madrid have taken notice and are weighing up a potential offer for the attacking midfielder.
Diego Simeone’s side are said to have made a €25 million for Iwobi as they seek to bolster their options in the centre of the park.
The report adds that Atletico have offered him a four-year contract with an annual salary of €7m (£6m/$8m).