Arsenal will face German giants Bayern Munich in the group stages of the Champions League.
Arsene Wenger will pit his wits against Pep Guardiola, who will be hoping to see his Bayern team put right the semi-final defeat to Barcelona last season.
Bayern do have history with Arsenal, having knocked them out of the Champions League in the 2013/14 season.
The Gunners will also find themselves up against Olympiacos and Dinamo Zagreb.
Memphis Depay is heading back home after Manchester United were drawn with PSV Eindhoven in their group stage return.
United, who qualified for the group stages with an emphatic aggregate victory over Club Brugge, were handed one of their best possible groups, avoiding the likes of Barcelona, Juventus and Bayern Munich.
They will also take on CSKA Moscow and Wolfsburg.
Their city rivals, Manchester City, were not quite as lucky, after being drawn against 2015 finalists Juventus.
Manuel Pellegrini will also see his men face off against Sevilla and Borussia Monchengladbach, in what is undoubtedly the toughest group a Premier League team have found themselves in.
Chelsea boss Jose Mourinho will go back to Porto, the club he led to Champions League glory back in 2004, after being drawn against the Portuguese giants.
As Premier League winners, Chelsea were England's only top seed in the competition, and also drew Dynamo Moscow and Maccabi Tel Aviv.
Champions League group draw in full
Group A
Paris Saint-Germain, Real Madrid, Shakhtar, Malmo
Group B
PSV, Manchester United, CSKA Moscow, Wolfsburg
Group C
Benfica, Atletico Madrid, Galatasaray, Astana
Group D
Juventus, Manchester City, Sevilla, Borussia Monchengladbach
Group E
Barcelona, Bayer Leverkusen, Roma, BATE
Group F
Bayern Munich, Arsenal, Olympiacos, Dinamo Zagreb
Group G
Chelsea, Porto, Dynamo Kiev, Maccabi Tel-Aviv
Group H
Zenit St Petersburg, Valencia, Lyon, Gent