Transfer news and speculation: 20 January

Wenger could face battle over pursuit of Arshavin

Zenit St Petersburg manager Dick Advocaat believes Andrei Arshavin is heading to the Premier League – but there have been reports of competition for Arsenal in the race to sign the playmaker. Arsenal have been viewed as the front-runners for Arshavin, although there are suggestions from Russia that Manchester City could move for the the 27-year-old if they fail to land Kaka from Milan.

"Negotiations with Arsenal continue and the chances are very high that Arshavin will soon play in the English Premier League," Advocaat said.

Gunners manager Arsène Wenger insists he has no concerns over Milan trying to target Emmanuel Adebayor and Robin van Persie if they sell Kaka to City. "No, I'm not worried about that at all," was his response.

Wenger could have Tomas Rosicky back before the end of the season, after a year out with a knee injury. Rosicky admits he has to build up his confidence again. "Everyone surely knows that I am not in my ideal state of mind," he said. "Now I am playing a different game. I have been working hard every single day."

Podolski returns to Cologne

Lukas Podolski has agreed to rejoin former club Cologne at the end of the season. The Germany international moved to Bayern Munich in 2006, but has grown increasingly frustrated at his lack of first-team opportunities at the Allianz Arena. A statement on Cologne's official website, www.fc-koeln.de, read: "Bayern Munich and Cologne today agreed on the transfer of Lukas Podolski. Lukas Podolski will join on 1 July, 2009." Cologne are though to have paid €10m (£9m) for Podolski.

Watson to stay in Palace Cup side

Crystal Palace manager Neil Warnock insists he has no intention of leaving Middlesbrough target Ben Watson out of Saturday's FA Cup trip to Watford even though he would become Cup-tied. The midfielder, who has turned down a new contract at Selhurst Park, is back in training following a calf injury and could return for the fourth-round trip to Vicarage Road. Middlesbrough and one other Premier League club have been in touch over Watson, but Warnock has received no formal bids.

Adams and Pennant in Pompey move talks

Tony Adams is to meet Liverpool's Jermaine Pennant to assess his commitment to joining Portsmouth. There have been suggestions Pennant would prefer a loan move to the south coast. "I think the deal has been done with Liverpool and I'm going to speak to Jermaine at some stage and see how he feels about coming to Portsmouth," said Adams. "If he doesn't want to, I won't take him on board."

Quashie will return to Upton Park

Birmingham City have decided not to extend Nigel Quashie's stay at St Andrew's. The West Ham midfielder arrived at the Championship club on a one-month loan back in October, before his stay was prolonged by Alex McLeish to the maximum 93-day period allowed for emergency deals. However, the club have opted not to secure his services on a permanent basis or a season-long loan.

Rumour Mill: Stories from the net

Fulham may rescue Manchester City midfielder Michael Johnson from his Eastlands troubles. The Cottagers are also monitoring Valencia winger Vicente Rodriguez, although Dickson Etuhu could be in his way out. ( football-rumours.co.uk )

Benjani, Elano, Richard Dunne, Ched Evans, Felipe Calceido, Tal Ben Haim, Javier Garrido, Michael Ball will all follow Johnson out of the Man City exit door. ( football-rumours.co.uk )

Internazionale manager Jose Mourinho has rubbished reports of a move for the Spurs midfielder Jermaine Jenas ( teamtalk.com )

Newcastle midfielder Geremi has committed himself to the Magpies, dismissing links to Benfica ( sportinglife.com )

Villarreal's Diego Forlan will strengthen Aston Villa's Champions League push ( football-rumours.co.uk )

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