Mario Gotze
Mario Gotze has rejected the chance to join Arsenal in favour of extending his stay at Borussia Dortmund. REUTERS

Arsenal have missed out on German wunderkind Mario Gotze, after the midfielder opted to remain with Borussia Dortmund until 2016.

The Gunners were heavily linked with the 19-year-old earlier in the season but he has now committed his long-term future to Dortmund.

Arsenal boss Arsene Wenger had reportedly targeted the highly-rated youngster as part of his summer transfer plan but he will now look elsewhere in a bid to bolster his midfield.

"Everyone knows how comfortable I am at Dortmund," Gotze told the official Dortmund Web site. "I want to be part of the club's development."

And the club's sporting director, Michael Zorc, revealed his delight after the youngster pledged his long-term future to the club. "We are very happy that we have Mario for the future," he said. "It is encouraging that Mario Gotze, despite the interest of top-class competition continues to commit to Borussia Dortmund."

Earlier this season, Gotze hinted that he was prepared to snub interest from Arsenal to extend his contract with the current German champions.

"Of course I can imagine extending my contact at Dortmund," he was quoted in the Daily Mail.

"I have always said how at home I feel here. And nothing has happened to change that.

"I have my family and friends here. And the whole Borussia Dortmund package with the coach and the team is simply outstanding."