In the last 24 hours strong rumours are circulating that Arsenal have signed a new kit deal with Puma. It has long been reported that Arsenal were terminating their 20 year association with Nike after the current 7 year deal that is worth £55 million comes to an end after the 2013/14 Premier league football season.

The Premier League as one of the most attractive football leagues in the world means shirt suppliers are keen to offer the most competitive bids so they can supply football kits for the best teams. The current Manchester United kit deal is worth around £23.5 million a year but was agreed back in 2002. With a rumoured long term Nike agreement in the region of £1 million it has left Arsenal feeling they needed a better value deal and with Nike unwilling to substantially increase the current offer Arsenal are seeking a better deal elsewhere.

Arsenal opened negotiations last year with kit suppliers with Adidas being among the favourites to re capture the Arsenal kit deal. However with Arsenal wanting a substantial increase on their current Nike agreement Adidas have stated they will not be putting in a bid to become the new supplier. Rumours from a senior Adidas executive suggest they feel they have adequate coverage in the UEFA Champions League with teams including Chelsea, Bayern Munich and Real Madrid and also several other teams in the Barclays Premier League.

Puma having lost Tottenham Hotspur to Under Armour last year will be really pleased to capture the kit deal with Arsenal football club. With their attractive style the Arsenal kit deal should be a massive contract for Puma. The deal is believed to be for 5 years and worth £30 million a year and could be up to £170 million in total which is a massive increase on the current Nike deal. With Gunner fans being unhappy that their big star players including Cesc Fabregas and Robin Van Persie have been sold to their rivals they will hope that Arsene Wenger will have some money to spend this summer. It is suggested that Fiorentina's striker Stevan Jovetic is a possible target in the summer transfer market and with an increased budget he may well be in the Arsenal kit next year.

Rumours in Spain suggest that Cesc Fabregas feels he was hasty transferring to FC Barcelona from Arsenal and is interested in re-joining the Gunners in the summer. This could be another reason for Puma's interest with Fabregas being one of their biggest clients. In addition with Arsene Wenger's history of signing African stars and Puma's large presence in Africa this makes a great deal for Arsenal and Puma

Due to a confidentiality clause we do not expect an official statement from Arsenal or Puma for some time.

With a large budget do you think Arsene Wenger will be spending this season? If you are a Gunner who do you want in the team?

With Sir Alex leaving Manchester United the Premier League title race next season could be closer than ever and we may yet see Arsenal as champions again with some new key signings.

David writes exclusively for Soccer Box where you can purchase Arsenal shirts, shorts and socks.