Real Madrid forward Gonzalo Higuain has not agreed terms with Arsenal, according to an agent working with the player and the Spanish giants.
A number of reports on Thursday morning suggested the Gunners had made significant progress in their bid to bring the Argentina international to the Emirates having offered him a deal worth £150,000 per week after agreeing a £22m fee with Real Madrid.
But Ernesto Bronzetti, the man close to Real Madrid said to be "running the talks" over a proposed move, has moved quickly to deny reports, claiming no offer from north London has been forthcoming.
"Higuain going to Arsenal? Not to my knowledge," Bronzetti told tutto mercato web.
"Besides, the situation is still to be defined by the new coach, which could be Carlo Ancelotti.
"Until then, nothing is definitive, but I can only say that about Higuain there are five or six teams (involved), not just Juventus and Arsenal."
Reports had suggested that Arsenal were willing to prove their renewed ambition in the transfer market by seeing off a rival offer from the Serie A champions and make HIguain the club's highest earner, ahead of the likes of Theo Walcott and Lukas Podolski.
Although the Gunners are still off meeting Real Madrid's valuation of £25.5m, an agreement with the player was thought to be all but agreed, with Sky Bet suspending their betting on the 25-year-old making a move to the Emirates in the coming months.
After another season where silverware bypassed Arsene Wenger's side, the arrival of Higuain would represent a marquee signing for a club who have so often had their ambition questioned as clubs around them spend freely during the transfer window.
Claims made by Arsenal's chief executive Ivan Gazidis suggested the club were ready to smash their previously rigid wage structure in order to enlist their services of some of Europe's top players and strengthen their chances of challenging the Manchester clubs and Chelsea for honours next season.
A move for Higuain would certainly represent that desire, although a move would now appear to be some way off from coming to fruition.
Higuain was told by Real Madrid that he has no real future at the club last month, with the Spanish giants throwing their faith into France international Karim Benzema and whoever the club may sign in the coming months for next season.