Arsenal appoint former midfielder club's technical director

Arsenal set to sign St Etienne defender William Saliba

Edu's brief will also involve coordinating the club's first-team coaching staff and work within the academy.

Arsenal haven't won the title since 2003-04, when the Gunners became the only team in Premier League history to finish the season unbeaten.

Arsenal's Head of Football Raul Sanllehi said of the appointment: "We're very excited that Edu is joining the team".

Arsenal legend Edu was a key member of the squad under Ardene Wenger and he has been named the technical director. Now it is down to Edu to unearth some young gems from South America and elsewhere as Arsenal can not compete with the likes of Manchester City, Liverpool and Man United to sign superstar players for big money, as things stand. But until a club comes up with any sort of realistic valuation of the player we don't have to do anything and we won't.

He will link up with Emery and his players later this week when they travel to the United States to begin their pre-season tour after leaving a similar role with the Brazil national side following their Copa America success.

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The Brazilian Football Confederation (CBF) confirmed in a statement on Monday that Juninho, the former Middlesbrough and Atletico Madrid playmaker, will move into the job from his current director of football development role.

"He will be working closely with Unai Emery and the first-team coaches, and will play a relevant role leading our football vision and ensuring we have - and follow - a solid philosophy through all our football activities", Sanllehi added.

"Every day I will seek to improve, to grow, to take steps forward and I think Racing is the best possible place to do that".

And Diaz, who made 13 appearances in La Liga last season, scoring three times, is one of several players told they can leave to help balance the books.

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