The 22-year-old full-back is the latest young British player to try his luck in Germany after struggling to hold down a first team place in the Premier League, and follows in the footsteps of Jadon Sancho, Reiss Nelson and fellow Schalke player Rabbi Matondo.
Liverpool-born Kenny made just nine league appearances for Everton under Marco Silva last season, and now hopes to pick up more first-team experience at the Veltins-Arena under former Huddersfield coach David Wagner.
A member of the England squad for the upcoming Under-21 European Championships in Italy, Kenny will join the Schalke squad after the tournament ends in July.
The club announced his arrival in amusing fashion, tweeting the words “Oh my god! They signed Kenny!” in reference to a long-running joke in the US animated comedy series South Park.
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