Arsenal have appointed Ivan Gazidis, the deputy commissioner of Major League Soccer (MLS), as their new chief executive.

The South African-born Oxford graduate will take up his post in January after a 14-year association with the American league. Gazidis is expected to take over many of the duties previously handled by former vice-chairman David Dein, who left Arsenal last year, such as player contracts and negotiations.

"Arsenal are delighted to announce that after a thorough recruitment process, Ivan Gazidis has been appointed the new chief executive officer, taking up the position in January 2009," a club statement read.

Reports claim the 44 year-old recently turned down a seven-figure package to become Manchester City chief executive as he did not want to relocate to England. However, he says he is excited by the opportunity to take the club forward.

"Arsenal are a unique club in the world, a very historic club which carries a rich tradition, and for me there was not another opportunity I would look at which could possibly be as exciting as this one," Gazidis said. "In modern sport, business plays its part and it is important that, to be successful on the pitch, you are successful off it as well.

"The great thing about Arsenal, which makes it unique, is the club has been run to sustain itself, it is not dependant on an outside investor to continue to pump money in year after year."

"It is essential to have really good knowledge of the world of sports business, but I strongly believe that sport is not only a business, there is also an element of public trust, and as an executive in a sports business, you have a custodian's role," he added.

"This is not going to be an American coming in with no understanding of Arsenal looking to make it into a 'Disneyfied' version of Arsenal Football Club.

"This is an Englishman who grew up with the game, has a deep understanding of Arsenal Football Club, and is certainly looking to provide modern sports business practices, but at the same time providing custodianship for the traditions of the club for the benefit of the entire club, and most importantly for the fans, on whom all of this rests."

Peter Hill-Wood, the Arsenal chairman, is in no doubt they have found the right man for the job.

"It was a very long and difficult search. We wanted a good person to manage the club on the business side and a man with football experience was important, Ivan certainly fills that gap for us very well," Hill-Wood said.

"He will work with Arsene Wenger on transfers. Arsene finds the players he wants to bring into the squad and Ivan will handle all the financial and technical side of player transfers.

"We all had lunch together a couple of weeks ago so the two of them could meet and it was important that Arsene Wenger liked him and respected his judgment."

The arrival of Gazidis has also been welcome by supporters.

"This is a vital appointment at a time when Arsenal face challenging times on and off the field," a statement from the Arsenal Supporters' Trust read. "The most pressing item in his in-tray is seeing through the completion of the Highbury Square property development in the face of the severe economic downturn.

"His experience of international sports marketing should help the club to grow its income stream at a time when there should clearly be no further increase in ticket prices for the hard-pressed supporter.

"In the week when the French Presidency of the European Union is seeking powers to control football to the detriment of Arsenal, Mr Gazidis will need to quickly build relationships in football and political corridors of power.

"We also note his experience in managing player contracts, a skill set we hope he will soon put to use at Arsenal.

"The Trust also recognises the role that Ken Friar has played as acting managing director and are grateful to him for the time he has given to working with us."