After months of speculation, it now appears that Arsenal manager Arsene Wenger has decided to sign a new contract with the club and stay on as boss, with the Frenchman also planning to heavily invest in his squad this summer with a reported £70 million war chest.

The Mirror reports that Wenger is set to stay on beyond his current contract and wants to sign several quality players to put Arsenal back in the thick of a title race next season.

Though he reportedly promised the board months ago that he was staying next season, Wenger has still not put pen to paper on a new deal which confirms his decision. However, with the promise of more funds to reinvest, that contract could be signed within the coming weeks.

It appears that the poor form of rivals Manchester United after David Moyes' failure to succeed Sir Alex Ferguson may have also had some bearing on his decision, with Wenger looking to leave his successor with as strong a playing squad as possible to make the transition to the next manager relatively smooth.

Real Sociedad's Antoine Griezmann and Bayern Munich striker Mario Mandzukic are reportedly top of the list of targets for Wenger, while he is also looking to sign a new right back, a midfield general and a new goalkeeper.