Wolverhampton Wanderers are reportedly looking to sign Matheus Cunha to a new contract amid suggestions that both Manchester United and Arsenal want to sign him during the January transfer window.
Cunha has been in excellent form for Wolves during the 2024-25 campaign, scoring 10 goals and registering four assists in 19 Premier League appearances, including three goals in his last four outings in England's top flight.
There is currently a host of speculation surrounding his future, with both Man United and Arsenal said to be determined to sign the 25-year-old, who has 26 goals and 13 assists in 76 matches for his current side in total since his arrival at Molineux.
However, according to the Daily Mail, Wolves are working on a fresh contract for Cunha, which would end the speculation surrounding his future, at least during the January transfer window.
The report claims that a release clause could be included in the deal, with a transfer this summer likely, but a fresh agreement would allow Wolves to keep him for at least the remainder of this season.
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Wolves 'working on new deal' for Cunha
Arsenal are said to want Cunha this month due to Bukayo Saka's hamstring problem, but Wolves will battle to keep hold of him, with Vitor Pereira's side involved in a relegation fight this term.
Man United are also in the market for a new attacker, with Marcus Rashford and Joshua Zirkzee potentially leaving the club during the January transfer window.
Exits for both would leave the Red Devils incredibly short in the final third of the field, although Rashford is not currently being used by Red Devils head coach Ruben Amorim due to underwhelming performances in training.
Rashford is again set to miss out against Liverpool on Sunday, partly down to illness, but he is also still being overlooked by Amorim during a difficult period in his career.
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Pereira has branded Cunha "a special player"
Wolves boss Pereira recently branded Cunha "a special player" and said that he was hopeful of keeping the Brazilian amid the growing speculation surrounding his future.
"He is a special player. He can do things that can make the difference in small details," he told reporters after Cunha scored and provided an assist in the 2-0 win over Man United on Boxing Day.
"We try his corner because we want the swing inside to explore this. But you can work a lot and in the end nothing happens. With this kind of player this can happen. I think it is not about work, it is about quality, his individual quality.
"Matheus Cunha is a player, in my opinion, who can reach high standards in this league. I hope not [elsewhere] because we need him."
Cunha scored seven goals and registered eight assists in 54 appearances for Atletico Madrid before his arrival at Wolves, and he now has a Premier League record of 24 goals and 11 assists in 68 matches for his current side.