However, there are conflicting reports coming out of both Scotland and Spain as to how the transfer is progressing.
Sources in Spain claim Rangers are still keen on a player swap deal, and have targeted Atletico duo Misrad Hibic and Javi Moreno in exchange for Arteta.
The stumbling block to any agreement could be Moreno's desire to move to Scotland, and his wage demands.
Meanwhile, reports in Scotland suggest that Rangers are close to agreeing a £4.5 million straight cash deal for the 21-year-old midfielder in a bid to raise funds for additions to their squad.
That fee would represent a loss of some £1.3 million for the Glasgow giants on Arteta following his purchase from Barcelona last summer.
Although the deal is still shrouded in confusion, it does seem likely that the young Spaniard will complete a move back to his homeland before the summer is out.
Meanwhile, it has been suggested that Rangers are ready to move for Sunderland striker Kevin Phillips should they raise sufficient transfer funds.
Celtic and Middlesbrough have both been mentioned in connection with the former England hit-man, but were put off by The Black Cats' £5 million valuation.
If Rangers do offload Arteta, it seems that the money could be earmarked for Phillips.
