Xhaka had a fantastic season at Monchengladbach helping them to a fourth place finish in the Bundesliga.
Arsenal’s scout have watched the midfielder over 30 times before he was identified as the player to solve Gunners’ midfield problems.
Pending the official announcement, it seems the midfielder has put pen to paper for the London club as he was pictured wearing Arsenal's home kit for next season ahead of the £35million move from Borussia Monchengladbach.
The Switzerland midfielder arrived in London for a medical on Thursday, May, 19.
Arsenal have been trying to keep the signing a secret before they will officially announce it after Euro 2016.
According to reports, the club is unhappy over the photos of Xhaka in an Arsenal shirt that have been circulated social on media.