Torreira headed to the Spanish capital on a season-long loan in the summer, used by the Gunners in their pursuit of Thomas Partey.
Though Torreira has found life tough at the La Liga giants, starting just twice, with doubts over his future.
The 24-year-old was deemed surplus to requirements by Mikel Arteta in the summer, and it seems the boss is still happy to see him elsewhere.
Florence-based newspaper La Nazione claim that Serie A outfit Fiorentina have reignited their interest in Torreira.
And the outlet add that Arsenal are ready to end his current agreement at Atletico with Fiorentina wanting Torreira on loan for the second part of the season.
Torreira has experience in Italy having originally moved to the Emirates from Sampdoria in 2018.
Arsenal had paid £25.8m to secure his services with Torreira’s father hitting out at Arteta’s treatment of the player.
Ricardo Torreira said: “Lucas has a huge heart and puts a lot of effort into everything he does.
“That’s why he’s not one of the players who likes to be on the bench waiting for minutes.
“He needs to show what he can give on the pitch. He’s encouraged with the game. And that happened at Arsenal.
“Lucas is honest and wants to leave his soul on the pitch, but that is defined by the coaches and for the current Arsenal manager he didn’t count.
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“Lucas wasn’t on the bench because he wanted to be there, but by decision of his coach.
“For a 24-year-old boy, recognised in Uruguay and around the world, the most necessary thing is to play.
“Arsenal decided that he wouldn’t have minutes, but we promise, God willing, if everything goes well and if there’s a coach at Arsenal who loves him when his contract with Atletico ends, he’ll leave his soul there again if they want him.”