Man City have reached a verbal agreement with Wolves for midfielder Matheus Nunes.
Man City are expected to pay €55m (£47.3m) for the 25-year-old initially, with add-ons still yet to be finalised.
There is no formal agreement yet, and discussions remain ongoing.
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Highlights from the match between Sheffield United and Manchester City in the Premier League
Nunes, who has a contact until 2027 with the option of a further year, had not been turning up to Wolves training in a bid to force through a move to the treble winners after their first bid was rejected last week.
Wolves signed the Portugal international for a club-record £42m from Sporting Lisbon last summer.
City youngster Tommy Doyle will go to Wolves on an initial loan with a £4.3m (€5m) option and a significant sell-on clause.
The deals are separate but Doyle’s move has helped with negotiations.
Chelsea inquire over signing City’s Palmer
Cole Palmer celebrates after breaking the deadlock in the Community Shield with a stunning strike
Chelsea have made an inquiry into signing Cole Palmer from City.
The move is in its early stages, but City are aware of the interest now after an initial approach.
Pep Guardiola has said this summer that a loan move away from the club would not suit the player, therefore a permanent switch is more likely.
Palmer played in the Premier League opener against Burnley and was on the bench for the last two games.
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