Inter Milan winger Ricky Alvarez, who Arsenal missed out on in the summer, could be set for a loan move to the Gunners in January

Arsenal's hopes of signing Ricardo Alvarez are in the balance after Inter Milan submitted a bid for the Velez Sarsfield midfielder.

Arsenal are close to agreeing a deal to sign Velez Sarsfield midfielder Ricardo Alvarez, according to the president of Italian side Palermo. Maurizio Zamparini said: "At this moment he has already signed for the Gunners."

Arsenal have reopened negotiations with Argentine side Velez Sarsfield regarding midfielder Ricardo Alvarez, who is also wanted by Inter Milan, Malaga, Sevilla, Roma and Schalke.

Arsenal are set to make their first signing of the summer with the capture of Argentine midfielder Ricardo Alvarez from Velez Sarsfield