Arsenal have a verbal agreement with midfielder Emile Smith Rowe over a new contract, reputed journalist Fabrizio Romano claims.
The 20-year-old had his breakout season with the Gunners last term, registering seven goals and seven assists from 37 games.
He still has two years left on his contract, but there has recently been uncertainty with Aston Villa looking to sign him.
Villa have made a couple of bids for Smith Rowe. Their latest offer of around £30 million was swiftly rejected.
The Gunners have no plans of parting ways with their graduate, and Romano claims that a verbal agreement is in place.
Smith Rowe is expected to return to pre-season training in early July before putting pen-to-paper on a fresh long-term contract.
He is expected to earn a significant hike on his wages. The north London giants will reportedly reward him with a five-year deal.
The Gunners are yet to announce any new signings this summer, but they are on the cusp of landing Nuno Tavares from Benfica.