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Premier League giants Arsenal have been dealt a massive blow in their race for Brazilian striker Luan, who has signed a new deal with Brazilian side Gremio which lasts until 2020, according to a story in the Mirror.
The North Londoners were lining up a £26m move to lure Luan to the Premier League however the striker has decided to remain in his home nation for the next couple of seasons.
The 24-year-old has been in top form for Gremio this campaign, managing to find the back of the net 16 times and helping his team to the final of the Copa Libertadores with a brace.
Spartak Moscow made an official offer of £30m in the summer for Luan, which was swiftly turned down by Gremio who were not looking to sell the striker.
The Gunners were competing with fellow Premier League side Liverpool for the services of Luan, but both sides must now pursue other targets.
The striker has one international cap, however, may force himself into the national squad in time for the 2018 World Cup in Russia.
If the striker makes the squad, then a few good displays at the competition would increase his value massively, which could convince Gremio to cash in on the attacker.