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Sam Hill

Nicolas Pepe made key decision to seal Arsenal loan exit amid huge Pedro Neto transfer blow

Arsenal winger Nicolas Pepe made a huge wage decision in order to secure a loan move to OGC Nice.

Pepe signed for the Gunners in a club-record £72million deal three years ago but failed to reach the heights he did at Lille since making the move to north London. The Ivorian forward's struggles led to him becoming a rotation option from the bench as opposed to a starter due to the emergence and performances of Bukayo Saka, Gabriel Martinelli and Emile Smith Rowe.

Pepe returned to France and signed for Nice on a season-long loan deal in the hope to play regular first team football and rediscover the form he showed that saw him initially sign for Arsenal. The Gunners remain hopeful of signing a replacement forward this summer before the transfer window shuts on Thursday, with Wolves star Pedro Neto being heavily linked with a move to the Emirates Stadium.

READ MORE: Edu can seal three-year Arsenal transfer mission with £35m Wilfried Zaha deal amid agent talks

Pepe gave up 25% of his Arsenal wage, valued at £2.5million, to make a move financially viable for the Ligue 1 side to complete his loan move, according to The Athletic. Sources close to the move admitted how unusual this was at clubs that are not experiencing financial difficulties, such as Barcelona.

Pepe's loan move does not include an option-to-buy with the 27-year-old set to return to the Emirates Stadium next summer. Mikel Arteta will be hoping Pepe can return with a similar impact to William Saliba after the French defender enjoyed a stellar season with Marseille last term, with Saliba now a mainstay in the Gunners' defence after an impressive start to the 2022/23 campaign.

The Ivory Coast international made his debut in a 3-0 home defeat against Marseille on Sunday and is set to face his former side Lille on Wednesday. Arsenal loanee Nuno Tavares played a key role in handing Pepe's new side a defeat in his official Nice debut, scoring his third goal of the season as the Portuguese defender continues to impress.

The Gunners are hopeful of bringing in a new attacker to the club after Pepe's exit on loan, but a move for Wolves starlet Pedro Neto is looking increasingly unlikely. Wolves are reluctant to sell the 21-year-old talent and could demand a significantly high fee that would deter Arsenal from pursuing a deal.

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