Sead Kolasinac will make a decision imminently on whether to sign for Arsenal or AC Milan, according to his father.
The Schalke left-back was reported to have agreed to join Arsenal last week, however his father has denied that is the case.
Sky in Germany understand an agreement has been reached between Arsenal and the player - a free agent this summer - while Sky Sports News HQ understands the 23-year-old attracted interest from Premier League leaders Chelsea in January.
When quizzed about his son's next move, Kolasinac senior told Bosnian TV station N1 Sarajevo: "Next week we will decide everything."
The Bosnia defender has less than three months remaining on his contract and is yet to sign an extension with the German side, who currently sit 11th in the Bundesliga.
Arsenal manager Arsene Wenger, whose team have lost four of their last seven games in all competitions, has previously insisted he is planning for next season despite uncertainty surrounding his own future.
Kolasinac, a Schalke academy graduate, has scored four goals in 117 appearances since making his debut for the club in September 2012.
He was born in Germany and represented his native country at U18, U19 and U20 level before switching his allegiance to Bosnia, consequently gaining 17 caps and featuring in the 2014 World Cup in Brazil during Bosnia's first appearance at a major competition finals.