Arsenal plans to trigger Kepa's £5 million buyout clause to bring him to the club. This deal is expected to be settled potentially this week.
The move will see Arsenal sign Kepa to compete with David Raya for the number one goalkeeper spot next season. The club has decided against a permanent deal for Neto, who spent the last season on loan from Bournemouth.
Kepa originally joined Chelsea in 2018 for £72 million from Athletic Bilbao.
