That’s according to the Mirror, who claim Sam Allardyce will be given significant funds to reinvest in the Everton squad.
Walcott has been in the wilderness at Arsenal this season and is yet to start a Premier League match.
He hasn’t even featured in a league matchday squad since early November, although that could be partly down to an illness he picked up last month.
However, even when the 28-year-old has been fit he has struggled to hold down a spot in Arsene Wenger’s starting line-up.
But the Mirror report Allardyce is ready to give the former Southampton academy starlet a chance in the north of England.
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While Everton have enjoyed immediate success under Allardyce since his arrival, there is a desperate need to add more firepower to his squad.
And Allardyce is also hoping to beat Arsenal to the signing of Steven N’Zonzi, who has impressed at Sevilla since leaving Stoke in 2015.
The 29-year-old worked with Allardyce during his time at Blackburn and is hopeful of securing a loan deal until the end of the season.
N’Zonzi has fallen out of favour with Sevilla coach Eduardo Berizzo this season and admitted earlier this month that he wanted to seek a move away from the La Liga club.
He said: “My future is clearly away from Seville. The only thing that disappoints me is the way it has ended.”