Sead Kolasinac is out of contract in the summer and is said to have been approached by Arsenal and Chelsea in recent weeks.
And sensational reports from Kolasinac's home country of Bosnia and Herzegovina claim the Schalke man has now agreed terms with the Gunners.
Website BIH Scout claims the 23-year-old signed a contact with the north London club earlier today.
Sead Kolasinac has reportedly reached an agreement with Arsenal
Sead Kolasinac was also a target for Chelsea
He has reportedly already picked out his shirt number and will link up with his new club in the summer.
Kolasinac is expected to be a long-term replacement for Nacho Monreal and Kieran Gibbs who has not featured much this season.
The Bosnia international's decision will come as a blow to Chelsea who were also keen to sign him to offer competition to Marcos Alonso.
Arsenal's £200m summer wish list Wed, April 12, 2017
Express Sport brings you Arsenal's summer wish list
Play slideshow AFP/Getty Images 1 of 6
Alexandre Lacazette (Lyon)
Kolasinac has been with Schalke since 2011, coming through the youth ranks of the Bundesliga club.
Get Quotes on Home Insurance
He has made 118 appearances for the German side, scoring four goals and providing 11 assists in all competitions.
Primarily a left-back, he has also been deployed as a left-sided midfielder and centre-back at times this season.