Sven lines up £6m swoop for Freddie

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The 30-year-old Sweden international, who struggled with injury last season, has a contract with the Gunners until 2009 but had been expected to join Fiorentina.

However, new Manchester City boss Eriksson held talks with the midfielder and his agent on Tuesday night.

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Ljungberg is Arsenal's longest serving player in the current squad

Ljungberg joined Arsenal from Halmstads for £3m in September 1998 and has scored 72 goals in 308 appearances.

Eriksson wanted to sign him in 2000 when he was Lazio coach and has said of the player: "He can take teams apart. He's quick and good on the ball. It's difficult to find another player in the world who can do those dangerous runs of his into the box without the ball."

Meanwhile, Emil Hallfredsson, 23, has moved from Tottenham to Norwegian club Lyn-Oslo for an undisclosed fee. The Iceland striker had been at Spurs for two years.