Chelsea striker Tammy Abraham will sign a new contract with the club but will then be immediately loaned out to Swansea City.
The Telegraph has claimed that the 19-year-old has agreed personal terms with the Blues.
But he will join the Swans to enjoy regular first-team football next season.
Two weeks ago, Swansea City chairman Huw Jenkins confirmed that he wanted to add the youngster to his squad.
"Tammy does not have Premier League experience, but we are interested," Jenkins told BBC Wales.
"Paul knows him from Chelsea. If you look at the options which have been publicised, [they are] Brighton, Newcastle and ourselves.
"So it is left to Tammy and his family to decide where he wants to go next."