It was set to be a historic evening for whoever won the coveted trophy - Arsenal looking for their first Champions League title 20 years on from their last final appearance, while PSG were aiming to defend the title they won last summer.
The Gunners made the perfect start too as Kai Havertz powered home on a tight angle inside six minutes.
- As it happened | Teams | Stats
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It was a defensive masterclass from Arsenal for much of the 120 minutes, with PSG's potent attack looking disjointed and void of ideas.
They needed a penalty to level after Cristhian Mosquera fouled Khvicha Kvaratskhelia just after the hour mark, with Ousmane Dembele firing home a beauty from the spot.
But despite chances - including an Arsenal penalty appeal waved away in the first half of extra-time - the game went to the lottery of penalties.
Eberechi Eze missed the Gunners' second, but that was matched by a brilliant save from David Raya on the next spot-kick to keep out Nuno Mendes.
The two teams continued to trade blows until Gabriel stepped up for Arsenal's fifth penalty - skying it into the jubilant PSG fans behind the goal.
It was a horrible moment for a player who did not deserve it - the Gunners defender had been one of their best players at the Puskas Arena - as Arsenal fell short in Europe once again.
More to follow...
What's next?
Already thinking about the 2026/27 Premier League season?
There's a World Cup to fit in first - follow live blogs of every game on the Sky Sports App - but the key dates are locked in for next term, when Sky Sports will once again show at least 215 live Premier League games.
Here's your summer diary:
June 11: World Cup starts - day-by-day fixture list
June 14: Scotland's opener vs Haiti (2am)
June 15: Summer transfer window opens
June 17: England's opener vs Croatia (9pm)
June 19: Premier League fixtures released (10am)
July 19: World Cup final
August 22-23: Premier League opening weekend
August 27: Champions League league phase draw
September 1: Transfer Deadline Day (window closes at 11pm UK time)
September 8-10: Champions League matchday 1
May 30, 2027: Premier League final day
