NEWCASTLE are set to miss out on long-term transfer target Hatem Trabelsi after Premiership champions Arsenal entered the race for his signature.

The Magpies first made contact with the Tunisian right-back in late May and, while their initial advances were rebuffed, they have continued to monitor Trabelsi's progress as he looks to secure a move from current club Ajax.

The 27-year-old, who was part of the Tunisian side that won this year's African Nations Cup, has fallen out with the Dutch giants following the collapse of a court case that would have allowed him to leave for nothing.

Ajax boss Ronald Koeman has told Trabelsi that he plays no part in his plans for next season but, while the defender has no shortage of suitors, he has struggled to find a club willing to meet his current employers' £4m asking price.

Newcastle's attempts to find a new right back have met with similarly disappointing results, and the Magpies had been ready to make fresh contact with Trabelsi in an attempt to win him round.

But that plan looks set to end in failure with Arsenal now favourites to land the African.

Arsene Wenger is keen to provide cover for first-choice full-back Lauren, and the Gunners are expected to unveil Trabelsi as their latest acquisition next week.

That leaves Newcastle no further forward in their full-back search, with the Magpies due to reconvene for the start of pre-season training next week.

Their attempts to sign Portuguese starlet Miguel have stalled, while any interest in Danny Mills has been shelved because of the Leeds defender's intransigence over his wage demands.

Newcastle are making progress on another transfer front though, with initial discussions having taken place with Manchester United over the future of Nicky Butt.

Reports suggesting a deal has been done are understood to be wide of the mark, but there has been contact between the two clubs and Newcastle are keen on signing the England international.

Manchester United have hinted that they would be willing to accept around £4m for a player who has spent almost 13 years at Old Trafford.

The 29-year-old spent most of last season on the sidelines after being passed over in favour of Phil Neville and Brazilian international Kleberson, and sources close to the player suggest he is keen to further his career elsewhere.

Newcastle can offer Butt the prospect of European football, and the chance to win back the England shirt that he conceded to Frank Lampard at Euro 2004.

The midfielder suffered a medial ligament injury while training with England last month, but would be fit to accompany the rest of the Newcastle squad on their forthcoming tour of Thailand and Hong Kong if his transfer was completed in time.

Signing Butt would place a huge question mark over the future of veteran midfielder Gary Speed, but the 35-year-old has hinted that he is willing to stay and fight for his place whatever happens on Tyneside this summer.

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