The French striker had a six week spell on loan with the Gunners last winter having left the club in 2007 to join Barcelona, and has now agreed to return to north London for a third time.
While both Wenger and Henry have appeared keen on getting the move done in the past, the Frenchman’s current club, New York Red Bulls, were said to be against it.
Now though the MLS club have given the green light for the move to go ahead according to Goal.com, meaning Henry could link up with his former club on January 1. The site reports the final details of the deal are now being thrashed out and could be completed in the coming days.
The move was previously held up by the length of the loan deal, with the Red Bulls apparently unwilling to agree to a deal that would see Henry stay in north London until the middle of February.
Now both parties have agreed to a six week loan spell, similar to the length of time the Arsenal legend spent with his former club last winter.
Last time round medical and insurance issues held up his temporary move to the Emirates Stadium, meaning he didn’t play his first game back for Arsenal until January 9.
Henry trained with Arsenal last month and will begin doing so again later this month upon his return from holiday.
Arsenal will likely lose both Gervinho and Marouane Chamakh for the duration of the African Cup of Nations in the new year, leaving boss Arsene Wenger short of options in attack.
Henry is Arsenal’s record goalscorer with 228 goals in his two spells with Arsenal, with two coming during his loan move last season.