Real Madrid officially announces a six-year contract extension with 26-year-old Brazilian superstar, increasing his annual salary to €24 million, dashing Arsenal's hopes of a transfer.

On August 7th, Beijing time, Real Madrid, the giants of La Liga, announced the contract extension with 26-year-old Brazilian superstar Vinícius Jr., agreeing on a new six-year contract valid until June 2032. The protracted 18-month saga has officially concluded.

It is reported that although Real Madrid did not meet Vinícius's initial demand for a salary comparable to Mbappé's at €30 million per year, his after-tax annual salary after the extension will be close to €24 million. Vinícius also recognizes that the club has made efforts and placed him in a salary bracket appropriate to his stature.

With Vinícius's renewal, Premier League club Arsenal's dream of signing him this summer has been shattered. The reigning Premier League champions were indeed willing to offer a net salary close to €30 million annually and would not hesitate to pay a transfer fee potentially as high as €150 million, but ultimately the two sides regrettably missed the chance to join hands this summer. What is certain is that Arsenal's interest accelerated the renewal process between Vinícius and Real Madrid.

In July 2018, Vinícius joined Real Madrid for a transfer fee of €45 million. Over eight seasons at the club, he has made 375 appearances, scored 128 goals, and won 14 trophies: including 2 UEFA Champions League titles, 3 FIFA Club World Cups, 2 UEFA Super Cups, 3 La Liga titles, 1 Copa del Rey, and 3 Spanish Super Cups.

Last season, Vinícius made 53 appearances for Real Madrid across all competitions, contributing 22 goals and 10 assists. His current market value on German website Transfermarkt stands at €140 million.