Arsenal and Manchester City target Felipe Melo is in negotiations for a new contract with current club Fiorentina.

The Brazilian says he is happy in Italy and is looking to prolong his career with the Viola.

"Me and my agent have spoken of the possibility of extending my contract with Fiorentina because I am happy," Melo said.

"I said in Brazil that I am happy here but press wrote that I wanted to change clubs.

"We have just started to speak about a new contract with the club's directors."