Arsenal have signed Ricardo Alvarez

Arsenal appear to have beaten off competition from Palermo for Velez Sarsfield star Ricardo Alvarez, who has recently led his side to the Argentinian league title.

Palermo owner Maurizio Zamparini told local media: "We were interested in Alvarez, we were very close to him in January.

"We lost him due to our mistake, and I know that he has already signed for Arsenal."