is set to sign a new contract at after being satisfied by the latest contract offer from the giants, according to reports in Germany.
The 26-year-old’s future at the Allianz Arena has appeared far from certain this summer, Turnkey Sportsbook Software with his current contract at the German giants expiring next summer.
Sportsmail understands made what were described as ‘tentative’ enquiries over signing Gnabry, while the two Manchester clubs were also linked with a £35million summer move.
Serge Gnabry is set to sign a new Bayern Munich deal in a major blow to his English suitors
Gnabry was not satisfied after initial talks with Bayern but is now happy with their latest offer
But Kicker before the two parties come to an agreement over a contract extension, reporting that the Germany forward will sign a new four or five-year deal.
The same outlet adds Gnabry was not satisfied following initial discussions with Bayern this summer, which is why he has not already committed his long-term future to the club.
But they claim those issues have been resolved and that the former Arsenal man will snub a return to the Premier League in favour of staying in the Bundesliga, where the report adds he can envisage seeing out the rest of his career.
The Germany international, who has scored 65 goals in 171 games for Bayern, can play on either flank as well as down the middle.
Chelsea made enquiries for the 26-year-old while Manchester City were also linked
He scored 14 goals and laid on six assists in 34 Bundesliga games last season for Julian Nagelsmann’s side – his best goal return in the league.
Real Madrid were also credited with an interest earlier on in the summer in Gnabry, who scored one goal in 18 appearances for the Arsenal first team across four seasons before heading to Germany nearly six years ago.
Arsene Wenger brought him into the Arsenal academy as a teenager in 2013, before appearing to lose faith in him and sending him loan to West Brom in February 2016.
Gnabry (left) has won 12 major trophies with Bayern Munich, including the Champions League
He was eventually sold to Werder Bremen for £4.5m that August before joining Bayern a year later.
Gnabry has since gone on to become a world-class performer, winning 12 major trophies with Bayern including four Bundesliga titles, a Champions League and the Club World Cup.
The German also has two FA Cup victories to his name with Arsenal.