Arsenal Edge Closer To Signing Long-Term Serie A Midfield Target

Arsenal look set to swoop for Fiorentina's Riccardo Montolivo after a falling out with his employers and declining the offer of a new contract at the Stadio Artemio Franchi.

The Italy international has been a target for Arsenal for some time with Arsene Wenger having enquired about his availability in the past only to be quoted prices that were previously out of his price range. Now with £60m of transfer fees collected through the sales of Cesc Fabregas and Samir Nasri money is less of an issue - as is the fact that he has just one year remaining on his contract - and Wenger will be buoyed by comments emanating from the Serie A club.

"Montolivo doesnt believe in the Fiorentina project," Fiorentina sporting director Pantaleo Corvino told reporters. "As a result, the player will be sold abroad."

Wenger has been understandably coy regarding his transfer targets largely so as not to inflate the asking price but also because their participation in this season's Champions League was not assured until their 2-1 victory over Udinese on Wednesday night. In fact, 'Le Professeur' had sought to play down any approach for either the 26-year-old or Lazio's Mauro Zarate though fell short of ruling out an approach.

"Zarate and Montolivo? No, there is absolutely nothing from us," the Arsenal manager said at the press-conference prior to the second leg of their Champions League playoff.

"But even if we were interested, I would not say."

Judging by that last line, expect a bid for the player sooner rather than later.

Chelsea Make Swap Offer For Liverpool’s Raul Meireles

Chelsea have made a counter-offer to Liverpool’s bid to swap striker Daniel Sturridge for midfielder Raul Meireles, by offering Salomon Kalou instead.

Blues boss Andre Villas-Boas is keen to be reunited with Meireles after they worked together at FC Porto.

AVB sees the 28-year-old as a younger alternative to Frank Lampard and hopes the Portuguese international can add more creativity and direction to Chelsea’s midfield.

Liverpool were willing to let him go to one of their rivals as long as hot-prospect Sturridge came in the opposite direction.

But Villas-Boas has been impressed by the 21-year-old and will include him in his first-team plans this season.

The Chelsea manager will instead offer Ivory Coast international Kalou instead who has fallen out of favour after a string of indifferent displays in pre-season and in the opening fixtures of the Premier League.

Reds fans do not want to see Meireles go as he was voted PFA Fans Player of the Year last season, but manager Kenny Dalglish needs to offload before he can enter into the market again.

The Scot has spent money strengthening his midfield but still wants a centre-half and a striker to complete his activity for the summer.

He has been linked with moves for Kevin Doyle and Craig Bellamy but it is unclear how excited he is about the prospect of taking Kalou.

Arsenal To Battle Inter Milan Over Transfer Of Argentina Hitman

Arsenal will face competition for the signature of Mauro Zarate from Inter Milan should Lazio decide to cash in on their man.

The Gunners have been tracking the 24-year-old ever since he spent four-months on loan at Birmingahm City in 2008. The Argentine ace impressed in the Premier League but Arsenal did not follow up on their initial interest.

Now they are looking to add the player to their ranks with Lazio willing to sell should a club match their £20m asking price though they have been delayed in making an offer due to the ongoing transfer sagas surrounding Cesc Fabregas and Samir Nasri, both of which have now been concluded. However, they may see their move hijacked by Inter Milan are keen for him to replace the departed Samuel Eto'o according to his agent Giuseppe Bozzo.

"Zarate is no ordinary player," Bozzo is quoted as saying by Sport Italia. "He's an important one for [Lazio] president Claudio Lotito and the fans. Mauro is very attached to the Lazio shirt and he'll remain if no side demonstrates a concrete interest in his services.

"Now Inter have shown an interest in him and a decision will be taken calmly. The Inter offer was made to me and not Lotito. It's an option that could transform into a negotiation. However, it is obvious that the two clubs would have to sit down and talk about it."

Having qualified for the group stages 0f the Champions League, Arsenal's hand will have been strengthened. However, they will have to move quickly if they are to get their man.

Alberto Aquilani Completes Loan Move To AC Milan

Liverpool midfielder Alberto Aquilani will return to Italy with AC Milan for the rest of the season after agreeing a loan move to the San Siro.

The former Roma player moved to Anfield in 2009 but struggled to make an impact in the Barclays Premier League and was allowed to spend the 2010/11 campaign back in Serie A with Juventus.

Now Milan have moved for the 27-year-old Italy international, with the deal only now hinging on the outcome of a medical.

Liverpool announced on their official website that an option has been negotiated to make the move permanent in the future.

Liverpool director of football Damien Comolli said: "I want to pay tribute to the way Alberto has conducted himself during these discussions.

"Throughout the entire process, his only desire has been to play football and he has put this ahead of any other considerations and at personal cost to himself. We wish him well for the season ahead."

Spurs Sign Emmanuel Adebayor On Loan

Tottenham Hotspur have announced the signing of Emmanuel Adebayor on a season-long loan.

The Togolese international has scored 81 goals in 186 appearances for both Arsenal and Manchester City since he arrived in the Premier League from French side Monaco.

Spurs fans will also, not too fondly, remember that Adebayor was on loan at Real Madrid for the second-half last season.

The six foot three forward scored twice against Tottenham at the Bernabeu when Los Blancos beat them 4-0 on the night in the Champions League quarter-final.

Arsenal's Vito Mannone May Head To Chievo On Loan

Arsenal are discussing a loan move with Italian side Chievo for goalkeeper Vito Mannone, according to Talksport.

Chievo are looking for a keeper this summer, and with Mannone allowed to head out on loan, the club are hoping that a season long deal can be arranged.

Arsenal already have Wojciech Szczesny in the starting position as goalkeeper, and the London club are happy to let Mannone to continue being loaned away from the Gunners.

Mannone is only 23-years-old, and Arsenal reportedly see the youngster as a future European talent. But the club want to allow him to get as much game experience as possible, and see him being in the Serie A as good preparation for European football.

Mannone spent the last season on loan from Arsenal at Hull, but only made 10 appearances for the npower Championship side.

Newcastle Raid Eredivisie For Defender Transfer

Newcastle United have agreed a deal with PSV Eindhoven to sign left back Erik Pieters, according to the player's agent.

"Newcastle's interest is very serious and Erik finds the club a real challenge," said Piet van der Pol to the Dutch press.

"I don't know the exact numbers of Newcastle's offer, but I'm pretty sure that the transfer will go ahead."

Pieters will be a direct replacement for Jose Enrique, who moved to Liverpool earlier in the summer, and will become part of a radically reshuffled squad at St James' Park.

Keirrison Joins Cruzeiro From Barcelona

Barcelona striker Keirrison has been loaned to Cruzeiro - his fifth loan adventure since joining the Catalan club in 2009.

The 22-year-old has failed to make his mark anywhere since moving from Palmeiras to Spain and will be hoping this latest venture to Belo Horizonte proves more successful.

Before moving to Spain, Keirrison was one of the most sought after players in Brazil as he topped the Campeonato scoring charts in 2008 and averaged over a goal every two games for Coritiba.

However, he was loaned out to Benfica and then Fiorentina - both unsuccessful spells - before returning home to Brazil to join Santos.

Even a return to his native country did not help, however, and he will now be hoping to rediscover his goal-scoring form with Cruzeiro.

He has until the end of 2011 to prove himself in Belo Horizonte and he will hope to have impressed both Barcelona and other potential suitors by that time.

Roma Sign Osvaldo for €15m

Roma have completed their signing of Pablo Daniel Osvaldo from Espanyol for €15m plus performance-related bonuses.

The Italian striker of Argentine descent touched down in Rome today and will be in the stands for tonight’s Europa League game against Slovan Bratislava.

He underwent his medical and the Giallorossi released a statement confirming “a contract has been signed with Espanyol for the permanent acquisition of Pablo Daniel Osvaldo.”

The announcement revealed €15m will be paid over three years, plus a series of performance-related bonuses.

Espanyol will receive €1m if Roma qualify for the Champions League in one of the seasons from 2011-12 to 2015-16.

A further €0.25m for every 25 appearances in official games for a maximum of €1m, plus €0.25m for every 10 goals scored for a maximum of €0.5m.

Osvaldo has signed a four-year contract with Roma worth €3.6m for the first season, working up to €4.47m in 2015-16.

Chelsea Star Delays Everton Transfer

Everton defender Joseph Yobo is set to join Turkish side Fenerbahce shortly, but only after Chelsea midfielder John Obi Mikel unwittingly delayed the transfer.

The Nigerian pair share the same representation, and as a result when Mikel's father was kidnapped, they were involved in intense negotiations with his captors.

That of course meant that they were unable to act on Yobo's behalf to finalize his move to Istanbul.

However, with Mikel senior recovered, Yobo can now push ahead with his move to Turkey, and he is expected to complete his move shortly.

Yobo has himself suffered personally at the hands of kidnappers, with his brother Norum taken in 2008.

Yobo returns to Fenerbahce having played there on loan last season.

Arsenal Smash Transfer Record With New Bid For Ligue 1 Ace

Arsenal has increased their bid for Stade Rennais defensive midfielder Yann M'Vila to 25m Euros, according to L'Equipe.

M'Vila is a tall defensive midfielder also capable of playing at centre back in an emergency, and is a fine distributor of the ball.

He is strong, tackles well and good in possession - making him sound like the perfect Arsenal signing.

However, M'Vila has previously stated his intention to stay at Rennes this season, as he believes he stands a better chance of keeping his place in the France national team if he doesn't move club.

What might aid Arsene Wenger in his quest to sign the Frenchman though, is if Rennes accept his club transfer record fee, M'Vila would move to an unquestionably bigger club - and doubtlessly improve as a player.

Rennes' situation in Europe is as precarious as Arsenal's.

They are not yet sure of their place in the UEFA Europa League, taking a 2-1 lead back with them to France.

Perhaps now is the time for M'Vila to show he can perform at a higher level.

Liverpool Agree Striker Loan Deal With La Liga Side

Liverpool has announced they have agreed to loan Spanish forward Daniel Pacheco to Atletico Madrid for this season.

The 20-year-old joined Championship promotion winners Norwich for the final three months of last season and he has now returned to his homeland in search of further first-team experience.

Pacheco made just seven appearances for Liverpool last term and has played only 14 matches overall.

"Liverpool have today finalized a deal to send Daniel Pacheco on a season-long loan to Atletico Madrid," a statement from the English club confirmed.

Atletico Madrid has already sold Sergio Aguero to Manchester City, while Diego Forlan appears likely to move to Inter Milan after being left out of his current team's European squad.

The Spanish side has already used the money from Aguero's sale to buy FC Porto striker Radamel Falcao, but a replacement for Forlan has not been decided.

Spurs Midfielder Linked With London Club Loan Switch

Queens Park Rangers boss Neil Warnock has launched an ambitious bid to sign Tottenham Hotspur midfielder Jermaine Jenas on a season-long loan according to The Sun.

Following Tony Fernandes' takeover at Loftus Road, Warnock is looking to complete a number of deals in a race against the clock before the transfer window slams shut next week, and has started by reviving his interest in Jenas.

The 28-year-old Spurs star hasn't featured for Harry Redknapp's first-team since April 2, and would be open to a move away from White Hart Lane in search of regular football.

Rangers are proposing to take the former England international on loan for the season, with the view to completing a £5million permanent deal should they avoid relegation, but Warnock is finding it difficult to conclude any business.

"It's all right having money and making offers but getting them to sign and move on with you is a different ball game," he said. "In 10 days, I've got to do 12 weeks' work.

"In an ideal world, we've always done it early. It wasn't possible and we've just got to try to grasp this opportunity and strengthen the squad to give us a chance up to Christmas."

Another Tottenham player looking to be on his way out of White Hart Lane is £12million man Wilson Palacios - who is set to complete a move to Stoke City in the coming days.

Redknapp is still hoping to complete deals for Lassana Diarra and Emmanuel Adebayor, and has also today expressed an interest in bringing want-away Liverpool midfielder Joe Cole to north London to help aid Spurs in their quest for Champions League qualification in 2011-12.

Arsenal Prepare £28m Bid For Everton Pair

Arsene Wenger will reportedly look to nab Everton pair Phil Jagielka and Mikel Arteta as he looks to strengthen his Arsenal side before the transfer window closes at the end of the month. The Gunners boss is thought to be looking to take advantage of the financial problems that have beset the Merseyside club that may lead to David Moyes having to sell players in order to balance the books.

Arsenal have already failed with two bids to sign England international Jagielka but Wenger is ready to up his bid to £15m for the 29 year old centre back, a player the French boss feels can greatly assist in solidifying a leaky defence. The former Sheffield United has been a hugely important figure at Goodison Park and Moyes will be loathed to lose the player who arrived at the club in July 2007 and has amassed almost 150 appearances for Everton.

Jagilelka may feel that a move to Arsenal would assist in his pursuit of a regular place in the England set-up and would also garner his Sale born battler his first taste of Champions League football. Wenger has a severe defensive headache at present with last summer’s signings Laurent Koscielny and Sebastien Squillaci both failing to adapt to life in the Premier League and with youngster Johan Djourou out has had to call upon inexperienced Spaniard Ignasi Miguel to partner the reliable Belgian Thomas Vermaelen.

Wenger is also keen on Mikel Arteta would he feels could be a good short to medium term replacement for Cesc Fabregas. The former Rangers man is a cult hero with Toffees fans and has often been a pivotal figure in the club’s attacking third but after six and a half years at Everton the talented midfielder would surely be tempted by a move to Arsenal.

The Spaniard, also 29 years of age, is a player of real quality who has an eye for goal and a set piece specialist who Wenger believes could be of great use to Arsenal for a few seasons and whilst Aaron Ramsey is considered as a potential replacement for Cesc Fabregas the Welshman is perhaps still not ready to fill his boots just yet.

Whereas Wenger is well known for his trusting to youth and his commitment to lesser known players he feels can step up a gear, he also knows that this current campaign could be a make or break one and after six years of relative failure is looking to bring in experienced players well versed in how the Premier League works and feels the most cost effective solution in this regard is to make the most of Everton’s need for quick cash with solid bids for Jagielka and Arteta.

Sunderland Target Santa Cruz

Steve Bruce wants to bring forgotten striker Roque Santa Cruz to Sunderland.

He faces opposition, however, from Scottish giants Celtic, who also want the Manchester City striker.

Santa Cruz, 30, has started just eight games at City - scoring four times -since signing from Blackburn two years ago.

Back then, he cost £18million, but interested clubs are now set to pay far less as City try to get the frontman - who has picked up around £8m in wages during his spell at the club - off their books.

Sunderland boss Bruce has already signed rising striking star Connor Wickham from Ipswich this summer to boost his attacking options.

But he sees Santa Cruz as an experienced alternative to Ghana World Cup star Asamoah Gyan.

Spanish sides Real Betis and Rayo Vallecano are interested in signing the Paraguay international on loan, but City are said to have dismissed their offers as insufficient.

Arsenal To Bid For Real Madrid Defender

Arsenal has reportedly turned to Real Madrid centre back Raul Albiol in their search for a proven defender to strengthen their backline.

Albiol has seen his hopes of first team football this season dashed after falling behind the likes of Pepe, Ricardo Carvalho and Rafael Varane in the pecking order at the Santiago Bernabue Stadium, and so could be keen on the move.

Valencia will provide competition for the player's signature as they are interested in resigning their former defender, and the Metro reports that a deal could be done for around £8million.

The Gunners have money to spend following the departures of Cesc Fabregas to Barcelona and Samir Nasri to Manchester City, and manager Arsene Wenger has made it his priority to bring in a defender.

The club have also been linked with moves for Phil Jagielka, Per Mertesacker and Gary Cahill recently, but now appear to favour a move for Spanish centre back Albiol.

Arsenal has been linked with Albiol before, after tracking him during his time at Valencia.

Bruno Alves Wanted By Juventus

Bruno Alves of Zenit St Petersburg is reportedly Juventus’ top target as their search for a new defender continues.

The Old Lady are looking for a centre-back and the 29-year-old is on the radar of director general Beppe Marotta.

The Turin giants could make a move for the former Porto man by taking advantage of Zenit’s interest in two Juve players.

Boss Luciano Spalletti is understood to have asked Russian officials to make bids for Leonardo Bonucci and Simone Pepe.

Juve are understood to have already rejected an €8m offer from the outfit for Bonucci previously this summer.

Inter Milan Chasing Zarate

Inter Milan want to replace outgoing striker Samuel Eto'o with Mauro Zarate, according to the Argentinian's agent.

Eto'o is expected to complete his record-breaking move to Anzhi Makhachkala this week, which will leave the Nerazzurri with a huge void in their frontline.

Diego Forlan has been heavily linked with a move to the San Siro, but Zarate's agent Giuseppe Bozzo says the 2010 European champions are also interested in his client.

Lazio have admitted they would be willing to sell Zarate at the right price, thought to be around €20 million, though Bozzo said Inter have yet to make an official bid.

"Zarate is no ordinary player," Bozzo told Sport Italia. "He's an important one for president Claudio Lotito and the fans. Mauro is very attached to the Lazio shirt and he'll remain if no side demonstrates a concrete interest in his services.

"Now Inter have shown an interest in him and a decision will be taken calmly. The Inter offer was made to me and not Lotito. It's an option that could transform into a negotiation. However, it is obvious that the two clubs would have to sit down and talk about it."

A potential stumbling block could be Inter's reported desire for a loan arrangement, with Lazio determined to only accept a full sale.

Zarate, 24, scored nine Serie A goals last season to Eto'o's 21 strikes and the Lazio forward's scoring record has never been as impressive as the Cameroon superstar.

Chavez Set For Napoli

Argentine striker Cristian Chavez has flown in to Napoli to undergo a medical and complete his move to the Serie A side.

A deal has been agreed for Chavez to join Napoli from San Lorenzo and he is looking forward to getting started with his new club.

The 24-year-old is particularly relishing the prospect of playing alongside compatriot Ezequiel Lavezzi.

"This option has been in the works for a long time and now it has finally come to a head," said Chavez.

"It is more than a dream for me, as everyone wants to play in Europe. I am going to play with Lavezzi, my idol, so it's a dream come true."

Eto'o Completes Anzhi Transfer

Russian club Anzhi Makhachkala have completed the signing of striker Samuel Eto'o from Inter Milan.

Eto'o has joined the big-spending Premier Liga outfit on a three-year deal which will make him one of the highest-paid players in world football.

Anzhi spokesman Alexander Udaltsov told Sky Sports News: "Just right now in Italy, Samuel signed a three-year contract so we can officially say the deal is done.

"We just received the medical results maybe one hour ago and he is in the right physical condition so we can sign the three-year contract.''

Udaltsov told BBC Sport on Tuesday that his club would pay an initial €15 million (£13.2m) for Eto'o, rising to €21m (£18.5m), and that he would earn €30m (£26.4m) over the course of his contract - almost £170,000 per week.

But he backtracked to an extent on those claims on Wednesday, saying: "We decided with Inter Milan not to disclose the fee, but it's not even close to all the remarks in the press - €16million, €18m, €20m.''

Asked if Eto'o would become the highest-paid player in the world, Udaltsov added: "I don't know, but he will be the highest-paid player in Russia for sure.''

The move has attracted criticism that Eto'o is moving simply to swell his bank balance, but Udaltsov claimed he was swayed by the club's ambition.

"Our owner Suleiman Kerimov is a really big person and has real ambition,'' he said. We have the ambition of playing in the Champions League and that's why we are signing the best players like Samuel Eto'o.

"Eto'o didn't want to come to Makhachkala (at first) but once we spoke about our ambitions he changed his mind.''

Manchester City Agree Fee For Arsenal Star

Manchester City have agreed terms with Arsenal for midfielder Samir Nasri and he will now undergo a medical.

Nasri but has been omitted from Arsenal's squad for the Champions League qualifier against Udinese on Wednesday and will travel to Manchester to finalize a deal worth a reported £25m to the Gunners.

The Frenchman, who has been heavily linked with City all summer, is in the final season of his contract at Emirates Stadium and could have left for nothing next summer.

Reports over the weekend had suggested the deal had fallen through and Gunners boss Arsene Wenger subsequently claimed Nasri was happy in North London.

He featured in Arsenal's 2-0 defeat by Liverpool on Saturday and trained with the squad on Tuesday ahead of the match with Udinese.

However, with the Gunners due to fly out to Italy on Tuesday afternoon, the club have now confirmed that Nasri is on the verge of signing for City.

A club statement read: "Arsenal can confirm that they have agreed terms for Samir Nasri to move to Manchester City.

"The 24-year-old midfielder, who has spent three years with the Gunners, has been omitted from Arsenal's squad which flies to Udinese this afternoon and instead will travel north for a medical.

"The move will be subject to Nasri passing a medical and formal registration processes."

Had Nasri travelled with Arsenal and featured against Udinese, it would have rendered him ineligible to play for City in the group phase of the Champions League.

Speaking after Sunday's 3-2 win at Bolton, Mancini suggested that such a scenario could have led to City ending their interest in the player.

Chelsea Target £28m Double Defender Deal

Chelsea manager Andre Villas-Boas is planning to bolster his defence by signing Porto's Rolando and Ajax's Gregory van der Wiel before the transfer window shuts.

Villas-Boas has earmarked his side's backline as an area that needs strengthening and he is prepared to shell out a combined £28m to clinch the double deal.

The Portuguese tactician had been hoping that central defender Serbian international Slobodan Rajkovic, who was signed back in 2007, would finally secure a work permit having spent the last three seasons on loan in the Dutch Eredivisie.

However, they are now poised to cut their losses after a setback in the 22-year-old's application and Hamburg will now pay a £2million fee to take him off Chelsea’s hands.

Villas-Boas will now venture into transfer market by raiding former club Porto for highly-rated Portugal centre-back Rolando.

The 25-year-old stopper was an integral member of the side that won the League title and Europa League under Villas-Boas last season.

Rolando's contract at Estadio do Dragao runs until 2015 and Chelsea will need to fork out £18m to secure his signature.

Chelsea will also move for Ajax youngster Van der Wiel, who is viewed by the Blues boss as a youthful replacement for the likes of Paulo Ferreira and Jose Bosingwa at right-back.

Van der Wiel, who featured in the 2010 World Cup final, has two years remaining on his club contract and has also attracted the interest of Manchester City and Bayern Munich.

Villas-Boas is looking to steal a march on his rivals by hastily securing a £10m deal for a player who is widely-regarded as the best young full-back in Europe.

The former Porto chief is looking to overhaul Chelsea's ageing squad over a period of two seasons and has already signed 19-year-old midfielder Oriol Romeu from Barcelona and 18-year striker Romelu Lukaku from Anderlecht this summer.

United Make Firm Offer For ‘Next Messi’ Target

Manchester United have contacted Borussia Dortmund with a firm offer for midfield target Mario Gotze, according to German news source Bild.

Dortmund have long insisted that Gotze iss not for sale, no matter how big the fee offered, with CEO Hans-Joachim Watzke telling reporters: "All interested people are uninteresting to us. He remains at Borussia."

But Manchester United continues to be linked to the 19-year-old, who was touted by Franz Beckenbauer as the next Lionel Messi.

United were said to be making a swoop for Wesley Sneijder, but Sir Alex Ferguson sees Gotze as a cheaper option for a midfield signing, with the Germany international demanding far lower wages than Sneijder.

And with only one week left in the transfer window, United are reportedly making an offer in the hopes of completing their squad as soon as possible.

Gotze has made 39 appearances for Borussia Dortmund since coming through the German outfit’s youth program, and has scored seven goals. The star has drawn the attention of Real Madrid as well as Manchester United.

Liverpool Close In On £8m Capture Of Blues Centre-Back

Liverpool are now favourites to sign Birmingham centre-back Scott Dann.

Reds boss Kenny Dalglish allowed experience defender Soto Kyrgiakos to leave for Wolfsburg yesterday, sparking speculation that a deal for Dann was close.

Arsenal and Chelsea have both been linked with a move for the Liverpool-born player, but he has his heart set on a switch to Anfield.

Dann was a boyhood Reds fan and he appears he is in line for an £8m dream move back to his native Merseyside.

Dalglish is keen to bolster his backline before the transfer window shuts next Wednesday and is has already held successful preliminary talks with Birmingham regarding the 24-year-old.

The Scotsman hopes to tie up deal in time to hand Dann his debut against Bolton at Anfield on Saturday.

The former Coventry man would become Liverpool's sixth summer signing as part of a £120m recruitment drive this year.

Chelsea In For Pereira

Sky Sports sources understand that Chelsea have made a bid for Porto midfielder Alvaro Pereira.

Blues boss Andre Villas-Boas worked with the 25-year-old Uruguay international before he joined the Premier League side this summer.

But it is now believed that Pereira could be following his former coach to Stamford Bridge, with the London club looking to replace Yuri Zhirkov who has joined Russian outfit FC Anzhi Makhachkala.

Pereira would fill that void after gaining a reputation as a highly rated wing-back.

Chelsea are the highest spenders of all 20 Premier League clubs this summer, with Juan Mata the latest signing, joining from Valencia for £26m.

Pereira began his career in Uruguay with Miremar Misiones and spent time at Quilmes and Argentinos Juniors before moving to Europe to play for Romanian side CFR Cluj.

He made the move to Porto in 2009 and played a significant part in their treble winning side under Villas-Boas last year.

It is understood that Pereira has a £25m release clause.

Liverpool To Pip Man City In Chase For £12m Uruguay Defender

Liverpool is hopeful of beating Manchester City to the signing of highly-rated Uruguay defender Sebastian Coates, who will cost around £12million.

The 20-year-old centre-half was named best young player at this summer's Copa America where his performances for the tournament winners Uruguay has only increased interest from several Premier League clubs.

Scouts from Arsenal, Liverpool and Manchester City all watched the 6ft 6in Coates in action during the championships in Argentina and have also monitored his club performances for Nacional.

But Liverpool are optimistic that their Uruguayan striker Luis Suarez can persuade his compatriot Coates to link up with him at Anfield.

The Premier League certainly seems the most likely destination for the towering stopper and could cost Reds owners Fenway Sports Group, who have already sanctioned a £110m recruitment drive this year, a fee of around £12m.

Coates was linked with a £3.5m transfer to Porto in June following the collapse of a proposed move to the Brazilian side Sao Paulo but his rise to prominence at the Copa America has since inflated Nacional's asking price.

Liverpool are keen to strengthen their defence, especially after allowing Sotirios Kyrgiakos to join Wolfsburg on a free transfer.

Coates is an elegant and quick defender, comfortable with possession and capable of bringing the ball out from defence.

He missed out on his country's World Cup squad in South Africa last summer and his inexperience at senior international level could provide an obstacle in obtaining a work permit, although he does have Spanish and British ancestry.

Newcastle In Transfer Tussle Over £7m Striker

French side Sochaux have threatened to report Newcastle for making an illegal approach for striker Modibo Maiga, with the 23-year-old refusing to attend training yesterday.

Sochaux chairman Alexandre Lamcombe told reporters that the club will make a complaint to FIFA if talks take place without their knowledge.

“Newcastle is going on contacting our players despite our refusal,” Lacombe said.

“So we will register a complaint with UEFA, telling them such behaviour is not fair play.”

Maiga has long been clear about a desire to join Newcastle, with the Daily Mail reporting that a deal worth £7 million is on the cards for the Mali international.

But Sochaux have said that their main man is not for sale, and should Newcastle have illegally contacted the player, they may face a UEFA reprimand.

Chelsea Poised To Sign Mexican Strike Sensation

Chelsea are poised to sign talented young Mexico striker Ulises Davila in a deal that would result in him being loaned to affiliate club Vitesse for a season.

Blues scouts watched Davila at the CONCACAF Under-20 World Cup last year and have monitored him since then.

The promising attacker has attracted the interest of a number of other clubs, including Ajax and Atletico Madrid, but the 20-year-old is expected to be confirmed as a Chelsea player this week, according to Dutch reports.

Davila does not qualify for a work permit which means Andre Villas-Boas will send him on loan to Dutch club Vitesse for a year.

Everton Linked With Ridgewell & Onuoha

The British tabloids have covered the financial situation at Everton in great detail over the past few days, but still have found time to link the Merseyside club with Liam Ridgewell and Nedum Onuoha.

These reports come from the Daily Mail so make of them what you will.

The first links Everton and Celtic to Birmingham defender Liam Ridgewell.

The 27-year-old was due to sign for West Brom but the move has now broken down.

If Everton was to make a move it would be a loan deal, with a view to a permanent transfer.

The paper claims that: 'Everton would like to make a deal permanent once they have cash.’ which is never probably.

They have also linked Everton with Manchester City’s Nedum Onuoha, who has been linked a few times over the summer, so perhaps there could be something in that? But again it is likely to only be a loan.

Former Reds Striker In Shock Anfield Return Link

Manchester City striker Craig Bellamy is poised for a sensational return to Liverpool according to reports in the guardian.co.uk.

The 32-year-old Welsh international finds himself surplus to requirements at the Etihad Stadium, and spent last season on loan at Cardiff City.

Citizens boss Roberto Mancini has made no secret of his desire to sell Bellamy this summer - but the player's £95,000 per week wages have proved to be a substantial stumbling block for a number of interested parties.

However, Reds boss Kenny Dalglish is believed to be considering a surprise swoop for Bellamy - a move that would see the player return to Anfield, where he spent a solitary season in 2006-07 scoring seven goals in 27 appearances under then manager Rafael Benitez.

But after failing to make a big enough impact at Liverpool, Bellamy moved on to West Ham, where he joined for £7.5million, and played there for two years before signing for Manchester City in 2009.

Liverpool are prepared to offer Bellamy a similarly lucrative contract in order to orchestrate a return to Anfield, providing City will not demand any transfer fee.

Fulham Rival Tottenham In FC Twente Double Swoop

Fulham is preparing a double bid for FC Twente stars Nacer Chadli and Bryan Ruiz.

The Craven Cottage club has formally lodged a bid for winger Chadli but has been told to double their £4.37million offer by Twente chairman Joop Munsterman.

The 21-year-old has impressed for the Eredivisie side since joining from AGOVV last summer and scored in both recent Champions League clashes with Tottenham.

The Belgium international has been attracting interest from across Europe with Fulham not being the first team to have a bid rejected.

Cottagers boss Martin Jol is also in the market for a striker and has inquired about Spurs target Ruiz.

The Costa Rica international has a £13.75million release clause but Fulham were hoping to compromise over a fee.

Munsterman confirmed the interest in the 25-year-old but he does not expect the deal to get very far.

“The offer for Chadli we consider a half bid, “he told Voetbal International. “And Bryan did not even want to join Fulham.”

Chelsea Defender Set For Hamburg Switch

Chelsea defender Slobodan Rajkovic has passed his medical at Hamburg and will sign a three-year deal with the German club.

The Serbian joined Chelsea in 2005 from OFK Beograd, when he was 16, and has since spent loan spells back at his former side as well as PSV Eindhoven, FC Twente and Vitesse Arnhem.

Despite featuring for Serbia since his move to Chelsea, Rajkovic has failed to earn a work permit at the club and Hamburg has stepped in.

Former Chelsea director Frank Arnesen, now at Hamburg, has sorted a deal for the 22-year-old, who completed a medical at his new club on Tuesday morning.

German Bundesliga Weekly Review

Schalke recovered from two goals down to claim a 4-2 victory over Mainz on Sunday as the hosts suffered their first defeat of the Bundesliga season.

It all looked so easy for Mainz in the first half at the Mainz Arena, with goals from Andreas Ivanschitz and Elkin Soto putting them within reach of a third straight win from three games

However, Schalke were transformed in the second half with goals from Klaas-Jan Huntelaar, Benedikt Howedes, Joel Matip and Christian Fuchs earning Ralf Rangnick's side a win that nobody would have imagined possible at half-time.

Following Mainz's slip-up, Hannover went joint top of the fledgling table alongside Borussia Monchengladbach on seven points although they were denied victory as Hertha Berlin struck late for a 1-1 draw.

Pierre-Michel Lasogga's tap-in seven minutes from time rescued a point for newly-promoted Hertha after Sergio Pinto's free-kick had given Hannover the lead in the first half.

Bundesliga champions Borussia Dortmund bounced back from last weekend's defeat at Hoffenheim with an efficient 2-0 home victory over Nurnberg on Saturday.

Robert Lewandowski put Jurgen Klopp's side ahead four minutes into the second half and Kevin Grosskreutz made the points safe with a second goal - courtesy of a wicked deflection off Phillipp Wollscheid - 10 minutes from time.

The result moved Dortmund to within a point of leaders Borussia Monchengladbach in the fledgling league standings, while Nurnberg remains in the bottom half.

Hoffenheim made it back-to-back wins to leave Augsburg still searching for a first victory since their promotion as they ran out 2-0 victors.

Ryan Babel gave the visitors an early lead with Sejad Salihovic scoring from the spot in the second half as Holger Stanislawski's men built on last weekend's success over champions Borussia Dortmund.

Bayern Munich swept aside woeful Hamburg 5-0 at the Allianz Arena.

Daniel van Buyten gave the home side an early lead before Franck Ribery swiftly added a second.

Arjen Robben put the result beyond doubt before the interval and Mario Gomez and Ivica Olic were on target in the second half.

Werder Bremen scored twice in the final four minutes to claim a thrilling 5-3 home win over Freiburg.

The visitors twice came from behind to draw level at 3-3, but Aaron Hunt's 87th-minute penalty and a last-gasp Beltrame Wesley strike won it for Bremen.

Papiss Cisse netted twice for Freiburg, opening the scoring in the seventh minute and making it 2-2 shortly after the break after Clemens Fritz and Claudio Pizarro had turned the game in the hosts' favour.

Marko Arnautovic put Bremen back in front in the 65th minute, but Stefan Reisinger looked like he had rescued a point when he made it 3-3 six minutes from time.

Stefan Kiessling took advantage of an error by Stuttgart goalkeeper Sven Ulreich to steer Bayer Leverkusen to back-to-back Bundesliga wins with a 1-0 victory.

Ivo Ilicevic opened the scoring for Kaiserslautern after 17 minutes away to Cologne but Mato Jajalo netted two minutes later to ensure the spoils were shared.

Borussia Monchengladbach claimed an impressive come-from-behind 4-1 victory over Wolfsburg on Friday.

The visitors took a 12th-minute lead at Borussia-Park when Makoto Hasebe rounded off a fine team move by lashing into the bottom-right corner from the edge of the area.

But Monchengladbach were level less than three minutes later when Raul Bobadilla capitalized on a defensive error from Simon Kjaer to set up Marco Reus, and went ahead through a Filip Daems penalty just after the half-hour before Bobadilla nodded home a third on the stroke of half-time.

Reus then sealed an emphatic victory by netting a fourth goal midway through the second half.