Spanish radio station COPE had reported that the midfielder was travelling to London to undergo talks with the Gunners having apparently fallen out with manager Eduardo Berizzo.
The former Stoke City man's trip to the English capital further heightened speculation that he could be joining Arsene Wenger's side, but Sevilla have clarified the visit was related to the player's son.
The Liga club's chairman Jose Castro told reporters: "N'Zonzi's situation [being dropped] is due to a technical issue with the coaches and, as with all technical issues, he can change it.
"He travelled to London to visit his son with our permission. There aren’t any offers to sign N’Zonzi. I can’t talk about clauses or prices if we don’t have an offer.
"We respect the decision of our coaches, he is training with his team-mates but currently he isn’t playing. It’s a technical decision and the coaches have said in public that he can change this."
N'Zonzi has not played a single first-team minute for Sevilla since being substituted at half-time of his side's 3-3 draw with Liverpool on November 21.
Berizzo's men are currently fifth in La Liga although are currently level on points with champions Real Madrid, who sit one place above them in fourth.