Transfer news: Lorenzo Insigne expected to snub interest from Arsenal and sign new Napoli contract

Napoli are expected to formally announce a new contract for striker Lorenzo Insigne this weekend, ending talk of a move to Arsenal.

The Gunners have been strongly linked with an approach for the 25-year-old, whose current contract is up in just over a year.

It looked as though Napoli would be forced to cash in on him rather than watch him walk away for nothing next summer.

However, sources in Italy have now claimed that a new contract has finally been agreed with Insigne set to commit himself to the club until 2022.

The Italian is in line for a hefty pay rise while Napoli will retain the player's image rights, which, as talkSPORT told you earlier this month, had been a sticking point in negotiations.

Sport Mediaset claim that the deal is done and that an official announcement will be made on Saturday.