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Gabriel has left Arsenal to join Valencia on a five-year deal.
The Brazil international was deemed surplus to requirements at the Emirates last season.
But he has now sealed a return to Spain where he previously played for Villarreal after two seasons in north London.
“Valencia have reached an agreement with Arsenal for the transfer of Gabriel Paulista,” a club statement read.
“The Brazilian player has joined Valencia CF for the next 5 seasons, until the 30th of June, 2022, with a buyout clause of 80 million euros.”