But the Gunners snapped up the Bosnian international on Friday after being understood to have offered a larger salary than he would have received if he sealed a move to Merseyside.
AC Milan were another club reportedly in demand of the 23-year old, but Kolasinac will officially join Arsenal after his contract expires with Schalke in June.
The move could see the Gunners’ current left-back Nacho Monreal potentially become second choice at the Emirates. Kieran Gibbs, who is currently Arsene Wenger’s second-choice left back, could see a dent to his hopes of first-team football next season.
Kolasinac represented Germany, his hometown, at under-18, under-19 and under-20 level before choosing to represent Bosnia and Herzegovina – his parents’ homeland.
The left-back can be deployed in a number of defensive positions. However, he also has seven assists and three goals to his name this term. Manager Arsene Wenger will hope he will be the physical, ball winner that he has renowned for being at Schalke.