The announcement comes a month after the 24-year-old singer and Davidson, an actor and a comedian, started dating. They had recently confirmed their relationship with a Harry Potter-themed photo on Instagram.
According to Us Weekly, a source close to the couple said they are not rushing "to get married".
"They are a perfect fit. They are not rushing to get married. Their friends are really excited and supportive," the source said.
Over the past one month, the couple attended each others' shows and Davidson also got two tattoos inked, including one of Grande's initials on his right thumb.
The source also said that the couple was telling people that they got engaged past weekend at actor Robert Pattinson's house party.
"They are both constantly making each other laugh. Their moms have met. They've been very public with their relationship on social media, and they are very much in love."
Grande was previously in a relationship with Mac Miller for over two years. They stopped dating in early May.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)