The 21-year-old has fallen out-of-favour under Mikel Arteta and has been linked with a move away from the Emirates Stadium throughout the transfer window.
It emerged on Sunday that Bundesliga club Hertha Berlin have reached an agreement with the Gunners to take Guendouzi on a loan deal.
The Frenchman is also expected to be in Berlin today to complete his medical and seal a deadline day move away from the north London club.
And according to German outlet Fussball Transfers, Hertha Berlin will pay Arsenal a fee of €4m for signature of Guendouzi on loan for the season.
The Bundesliga outfit will also take care of the youngster’s entire salary during his spell at the club this campaign.
Hertha Berlin’s agreement with Arsenal does not give them the option to make the move permanent at the end of the loan contract.
Meanwhile, Arsenal are still on the lookout for players to bolster their midfield, with deals for Lyon’s Houssem Aouar and Atletico Madrid’s Thomas Partey unlikely.
