It was claimed by the Daily Mail last week that the Seagulls, along with Sheffield United and Burnley, were considering a move for the 25-year-old.
However, as reported by 90min, that story has since developed. A summer deal is slightly complicated but not entirely impossible.
Hendry is on loan at Belgian club KV Oostende, who have an option to buy the Scotland international at the end of the season for around £2million.
Effectively, Oostende can then sell for a quick profit with £10m the rumoured asking price – money Celtic would not see.
It is claimed Aston Villa, Brighton and Wolves are keen while Newcastle, Leicester, West Ham and Crystal Palace have also kept tabs on his progress.
Oostende are fully aware of the emerging interest. In an ideal world, they would prefer to keep him but are open to the idea of cashing in immediately.
Meanwhile, former Arsenal striker Kevin Campbell has tipped his former club to cool their interest in Tariq Lamptey after the full-back was ruled out for the remainder of the season with a hamstring injury.
The Gunners have been strongly linked with the 20-year-old over the recent weeks, who has been touted as a possible replacement for Hector Bellerin.
Campbell told Football Insider: “There is clamour for the club to sign a recognised right-back this summer but I think the injury scuppers any chance of that move.
“Arsenal need players who are going to be there. We need players who are fit regularly.
“Lamptey has already had multiple injuries as a young player and that does not bode well.
“You do not want to buy players who cannot last a full season. That has been Arsenal’s achilles heel for years.”
Elsewhere, Brighton are linked with a move for a Portuguese international striker.
Here are the latest transfer headlines from Brighton and their Premier League rivals:
1. Werner could leave Chelsea
Chelsea striker Timo Werner may quit the club in the summer, just one year after his £45million move from RB Leipzig. There is a growing expectation that the German will return to his homeland “in the next year or two”. (Football Insider) Photo: Laurence Griffiths
2. Barca offer Aguero contract
Barcelona have offered a contract to Manchester City striker Sergio Aguero, who is out of contract at the Etihad Stadium this summer. (Tycsports) Photo: Gareth Copley
3. Cavani will decide future in May
Manchester United striker Edinson Cavani will wait until the end of the season before deciding his future, despite the Uruguayan's father indicating he wanted to sign for boyhood club Boca Juniors. (ESPN) Photo: NAOMI BAKER
4. Leeds & Saint eye goalkeeper
Leeds and Southampton are showing interest in Alaves goalkeeper Fernando Pacheco. The Saints are willing to pay £8million for his services, a figure Leeds “would also negotiate”. (GOL Digital via HITC) Photo: David Ramos