Atletico Madrid have terminated Diego Costa’s contract at the Spanish side, freeing him up as a free transfer for the January transfer window.

Arsenal are thought to among the clubs who will be keen to snap up the veteran striker when the window opens on Friday.

After falling down the pecking order under Diego Simeone, Costa is understood to have instructed Atletico to tear up his contract which had just six months to run.

The 32-year-old has struggled for minutes and injuries this term, with leg and muscle injuries seeing him miss six out of seven LaLiga games from the end of October to the middle of December while those same problems kept him out of Champions League action.

However even when fit he has struggled to gain a place in the first team, starting just two games this term as Simeone leaned towards Joao Felix and Luis Suarez as his main attacking options.

Across his seven game he has found the net twice with his most recent strike coming from off the bench at Elche in a LaLiga match before Christmas.

Costa rejoined Atletico for a second spell from Chelsea for £54million during the 2017-18 season.

But he has struggled for goals during that time, with his seven in his first-half season back followed by consecutive campaigns where he found the net just five times.

However, Atletico Madrid confirmed on Tuesday the decision to rip up his contract and release him now – the third time he has departed the club.

Atleti tweeted: “Agreement with @diegocosta for the termination of his contract.

“The club wishes the striker the best of luck in the next stage of his professional career.”

The transfer window reopens on Friday, giving the ex-Chelsea striker all of January to find a new club.

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