Arsenal remain Sead Kolasinac's first option as he prepares to leave Schalke this summer.
Kolasinac's father says nothing is signed but Arsenal are in the running.
He told Haris Mrkonja, a reporter for TV N1 Sarajevo, that matters will have to be settled with AC Milan before any final decision is made.
@BiHFootball I spoke to Sead's father just now. He claims his son signed nothing, but #Arsenal is in play. They apparently have to deal with Milan first — Haris Mrkonja N1 (@harismrkonjan1) April 16, 2017