Stefano Pioli's team will face Celtic, a team it has frequently battled with in the UEFA Champions League, along with Sparta Prague and French club Lille in Group H.
Milan looked like being eliminated on Friday (AEST) until a last-ditch spot-kick in extra-time against Portuguese side Rio Ave gave it a 2-2 draw, and the Rossoneri went on to win 9-8 on penalties after a lengthy shootout.
It has been regular foes of Celtic in the UEFA Champions League, with the teams drawn to face each other in four seasons from 2004-2005 to 2013-2014, and Milan also lost to Lille in that competition during the 2006-2007 group stage.
A 2-0 setback against the Ligue 1 side did not prevent Milan going on to become European champion in that campaign, but it is a fallen giant in Italy which is slowly getting back into shape under Pioli.
Jose Mourinho's Tottenham Hotspur will tackle Ludogorets, LASK and Royal Antwerp in Group J, with the Portuguese manager looking for a repeat of the UEFA Europa League triumph he achieved with Manchester United in the 2016-2017 season.
The draw also handed Roma tests against Young Boys, CFR Cluj and CSKA Sofia in Group A, while Group F will see Serie A and LaLiga collide, with Napoli and Real Sociedad drawn alongside Dutch outfit AZ and Rijeka of Croatia.
Arsenal, led by Mikel Arteta, will face Austrian side Rapid Vienna, Norwegian outfit Molde and Irish club Dundalk.
UEFA EUROPA LEAGUE GROUP STAGE DRAW:
Group A: Roma, Young Boys, CFR Cluj, CSKA Sofia
Group B: Arsenal, Rapid Vienna, Molde, Dundalk
Group C: Bayer Leverkusen, Slavia Prague, Hapoel Beer Sheva, Nice
Group D: Benfica, Standard Liege, Rangers, Lech Poznan
Group E: PSV, PAOK, Granada, Omonoia
Group F: Napoli, Real Sociedad, AZ, Rijeka
Group G: Braga, Leicester City, AEK, Zorya Luhansk
Group H: Celtic, Sparta Prague, AC Milan, Lille
Group I: Villarreal, Qarabag, Maccabi Tel Aviv, Sivasspor
Group J: Tottenham, Ludogorets, LASK, Royal Antwerp
Group K: CSKA Moscow, Dinamo Zagreb, Feyenoord, Wolfsberg
Group L: Gent, Red Star Belgrade, Hoffenheim, Slovan Liberec