Palermo president Maurizio Zamparini says Arsenal have lost out to Inter Milan in the battle for Velez Sarsfield star Ricky Alvarez.
Palermo had also been bidding for Alvarez, which seemingly gave Zamparini his insight and now he claims that he knows Inter's late bid for the player will be successful.
"We were close to signing [Ricky] Alvarez for half the price they will now pay for him but my colleagues took it easy and no agreement was reached," Zamparini bemoaned to Sky Italia.
"Where he will go? He was going to sign for Arsenal but Inter Milan made a move and that is where I believe he will go."
Velez have now confirmed that a number of clubs are keen on him and they name Roma, as well as Inter and Arsenal.
"Ricky Alvarez could be in England or Italy, because we are negotiating with several clubs in those countries," said Velez chief Fernando Raffaini.
"Until it is signed, nothing is confirmed, but many clubs are interested: Inter, Roma and Arsenal, for example."
