Arsenal have agreed a £36million ($45m) deal for Gremio star, Everton Soares, according to Fox Sports.
The Brazil forward will now complete a medical in his country, ahead of his move.
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Manchester United had reportedly shown an interest in the 23-year-old and had sent scouts to watch him play.
But it is believed that Edu, who is the Gunners’ new Sporting Director, swung the deal in favour of Unai Emery’s side.
Last week, Everton confirmed he had an offer on the table. “Right now I have an offer on the plate, but I can’t say the name of the club in question.
“Just as I cannot promise that I will be here again on Thursday to play against Bahia. We’ll see,” he said.