Celtic midfielder Victor Wanyama says he is not tempted by a move to Southampton and will hold out for a switch to a bigger club.
The Scottish club are believed to have agreed a fee with Southampton and talks had begun over personal terms.
However Wanyama says he isn't interested in a move to the south coast amidst rumours Arsenal could be about to make a move for him.
"While the bid was okay for Celtic, the terms were not right for myself and my agent," he said in the Southern Daily Echo.
"I am open to what offers are made, but I am relaxed and it's important that Celtic are happy too."
The Gunners look short of a defensive midfield option and have reportedly been eyeing a move for the Kenyan international.
Arsenal boss Arsene Wenger contacted Celtic over a potential transfer in June according to the Daily Mail.
Wanyama impressed for Celtic during their run to the Champions League knockout stages, and the Mail quote Jean-Marie Abeels, who brought the 21-year-old through the ranks at the JMJ Youth Academy in Nairobi, as saying Arsenal's interest in him was 'big'.
According to Sky Sports, Cardiff City, Stoke City and Liverpool are all monitoring developments.