Mikel Arteta has a broad agreement to become Arsenal head coach – but the deal is being held up by Manchester City’s compensation demands.
Negotiations are now underway between the two clubs, with City understood to be in no mood for compromise with their Arsenal counterparts as they look to recoup £2m ($3.78m) for their assistant manager.
Despite three weeks of speculation linking Arteta with a move to north London, no discussions took place between the two parties when City played at the Emirates last Sunday (UK time).
Stream live coverage of La Liga, Bundesliga, Serie A, Ligue 1 and the EFL Championship with beIN SPORTS on KAYO.
However, Arsenal managing director Vinai Venkatesham and club lawyer Huss Fahmy were photographed leaving Arteta’s Manchester home in the early hours of Monday morning after a meeting lasting over two hours.
City is resigned to losing Arteta and will not stand in his way, but is expected to be less than flexible when it comes to both the amount of compensation and the payment schedules agreed with Arsenal.
The Gunners fuelled speculation Arteta’s appointment could be imminent on Thursday after postponing interim boss Freddie Ljungberg’s news conference to Friday.
Ljungberg was set to face the media ahead of Saturday’s trip to Everton – by which time Arsenal hope to have former club captain Arteta in place.
However, the club has moved the news conference to Friday, giving no information about who will face the media.
Sky in Italy are reporting that Arteta has told City’s board that he wants to leave to become the Gunners’ head coach, but he did travel with his current employers to Oxford for Wednesday’s Carabao Cup quarter-final to take his place on the bench alongside Guardiola.