Manchester City are reportedly set to beat Arsenal in the race for Zenit St Petersburg striker Andrei Arshavin, according to the Sunday Mirror.

Zenit have previously admitted they have been in discussions with the Gunners over a proposed transfer for Arshavin and it had been reported that the Russian side rejected Arsenal’s initial bid.

Whilst the Gunners are believed to have returned with an improved offer, they still appear to have fallen short of Zenit’s asking price with the striker’s wage demands also a potential problem.

However, City, who appear to have limitless financial resources following their takeover, are reportedly ready to hijack the deal and bring Arshavin to Eastlands.

The Sunday Mirror reports that the Sky Blues have agreed an £18 million deal with Zenit and that club official’s have also met with the striker and agreed to meet his wage demands.

Should the report prove to be correct it would undoubtedly be a huge blow to Arsenal and manager Arsene Wenger, who appeared to have made Arshavin their primary transfer target.City, meanwhile, have already added Wayne Bridge to their ranks from Chelsea, yet have been frustrated so far in their attempts to add further players to their squad.

A bid for Blackburn Rovers’ striker Roque Santa Cruz has been rejected by Sam Allardyce's men and the Sky Blues have also so far failed in their attempts to sign West Ham United pair Scott Parker and Craig Bellamy