Manchester City formally agreed with Wolves to sign midfielder Matheus Nunes for £53m.
Their deal includes a 10% sell-on clause for Wolves from any profit City make on the 25-year-old in future.
Nunes has now been cleared to have a medical in Manchester.
City had a previous bid for the Portugal international rejected last week, as Wolves held out for a fee closer to their asking price of over £60m.
Nunes has been absent from training recently after making it clear he wants to join Pep Guardiola's side.
In addition, Wolves have agreed to sign City's England Under-21 international Tommy Doyle on loan, with the option of a £4.3m transfer that would include a 50% sell-on clause.
City wanted to bolster their midfield options even before Kevin de Bruyne suffered the hamstring injury that could keep him out for four months.
West Ham's Lucas Paqueta was an option before it emerged the Brazilian, 25, is being investigated by the Football Association for potential betting rule breaches.
