The 33-year-old Arango joined Gladbach from Mallorca in 2009 playing a total of 155 league games for them and scoring 25 league goals, many with his left foot, including a stunning 50-metre goal against Mainz 05 in 2012.
"We had intensive negotiations for a contract extension with Juan Arango and made him an offer," said Gladbach sports director Max Eberl in a statement.
"His ideas and ours unfortunately did not match. Juan is a gifted player and we hare happy to have had him so long among us and regret that our ways must part."
Lukas Rupp, the 23-year-old midfielder, also joined Arango at the exit after turning down his own contract extension offer and opting to leave to get more playing time.
- Sports & Recreation