The Gunners have made multiple bids for the 22-year-old, with the club’s improved £25 million bid rejected last week.
Though many have expected a deal to eventually get done, Lennon believes that the Scotland international will not be moving to the Emirates this summer.
“The deal, as far as I’m aware, is not happening.
“We are delighted about that and it’s just a question of appeasing his mind now.
“As far as I am aware, it is finished. I don’t know if Arsenal are going to meet our valuation. So it is basically as you were,” Lennon said.