Kanu's agent has denied issuing a threat to Arsene Wenger over the Nigerian's future at Arsenal.
It was reported that Kanu was ready to quit Arsenal if he is not picked in the side for Wednesday night's Champions League clash with Lyon.
But Kanu's agent Frank Sedoc has now denied making such a claim.
He said: "I have never given an ultimatum. I don't want to be in a fight with Mr Wenger.
"If Kanu doesn't play so be it. It doesn't mean he doesn't want to play for Arsenal."
Kanu has started just 10 Premiership games for Arsenal this season, scoring once and was a non-playing substitute in Sunday's 3-1 FA Cup fifth round win over Chelsea.
Sedoc's denial conflicts with his earlier claims that Kanu is ready to walk out of Highbury. He also stated that several top clubs had contacted him about the former Inter Milan star's availability.
He said: "If Kanu doesn't play then the relationship is over.
"It is not a threat because there is no threat in the truth.
"I am very happy that some of the biggest clubs in Europe contacted me about Kanu after Sunday's game against Chelsea.
"They are very interested to know that Kanu is unsettled.
"How is it possible that Kanu played a perfect match when they beat Lyon last Tuesday but then is not good enough to get even one minute against Chelsea on Sunday?"
Wenger will announce his team just before kick-off in Tuesday's crucial Group C clash at Highbury.