Arsenal, Chelsea and Borussia Dortmund have agreed in principle to what is effectively a three-way transfer.

With Dortmund previously agreeing to sell Pierre-Emerick Aubameyang to Arsenal for £55.5 million, they needed a replacement striker and were interested in Michy Batshuayi of Chelsea. But Chelsea needed a backup striker behind Alvaro Morata to replace Batshuayi and have agreed to buy Olivier Giroud for £17.5 million. The £17.5m fee for Giroud is inclusive of add-ons.

Dortmund previously had interest in Giroud before moving onto Batshuayi.