Sky Sport journalist Fabrizio Romano has claimed that Manchester United have reached an agreement to sign Fred.
The Shakhtar Donetsk man is wanted by both Manchester clubs but according to the Italian journalist, the Red Devils have won the race.
"Manchester United have finalized Fred deal for 50M. He’s going to have medicals and sign his contract soon," Romano wrote on Twitter.
The 25-year-old has confirmed that Manchester United have already met with his agents to negotiate the transfer.
"There's been some advanced talks since January, when I almost went to Manchester City," Fred said.
"Manchester United talked to my staff and Shakhtar. But my head is entirely with the World Cup.
"Gilberto Silva [agent] is a guy in which I trust, he deals with all off-pitch stuff. My family is always well informed, too.
"I don't know what I'm going to choose, maybe I'll decide better after the World Cup."