The 24-year-old midfielder has started the season in scintillating form with high-flying Toulouse, and has been instrumental in the Ligue 1 side's surge to second in the table.
Rated at around £17million, Capoue - who is capped at international level by France - has attracted additional interest from Barcelona and Inter Milan, meaning Gunners boss Arsene Wenger faces a serious fight to lure the player to the Emirates Stadium.
It's not yet clear whether Arsenal planned to move for Capoue when the transfer window reopens in January, but with news of Benfica stepping up their interest, they could be forced into action.
Spurs boss Andre Villas-Boas could also have a say on his eventual destination, if he were to renew the club's attempts to bring him to White Hart Lane, though it would seem Tottenham are way down the pecking order.
When asked by O'Jogo about reported interest from the Portuguese side, Capoue's agent, Franck Belhassen, remained coy: "I can not talk about the future of the player. Everything depends on Toulouse now."