Patrick Vieira will join Real Madrid in a five-year deal on Thursday, according to reports coming out of Spain.
Newspaper Diaria AS claims the move will be completed when Real return from their Champions League qualifier against Wisla Krakow in Poland.
But the paper also stated that the clubs had yet to reach agreement over the fee and how it should be paid.
Real are offering £20m over four years, while the Gunners want £23m in two instalments for the France midfielder.
Gunners boss Arsene Wenger has given Vieira until Saturday to decide where his future lies.
Meanwhile, Vieira’s Arsenal team mate, Robert Pires, who yesterday stated that Vieira was leaving Highbury, has today claimed he was misquoted.
“I have never said a word about Patrick’s situation, I have too much respect for him to give my opinion,” said Pires.
“I really hope, as do all my team-mates, that he stays with Arsenal.”