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Watford have confirmed that a fee with Portsmouth for forward Tommy Smith has been agreed.
Sky Sports Newsrevealed on Tuesday that Paul Hart's side had entered the race for the 29-year-old, who has also been a target of Reading.
Smith looked set to sign for the Royals after completing a medical with the Championship side but Pompey have also had a last-minute bid accepted by the Hornets.
Watford made it clear that they are prepared to go through with either deal, saying it is up to the player to decide which team he wants to join.
"Watford can this evening confirm that the club has received and accepted an offer from Portsmouth for attacker Tommy Smith," the club stated on their official website.
"The Premiership side made their bid for the 29-year-old late on and it is now down to the player to decide upon a move to Fratton Park or Reading, after the Hornets had accepted an earlier bid from the Berkshire based club."
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Tottenham will be looking to carry their fine form into 2013 as they kick off the New Year against struggling Reading.
Manchester United travel to Wigan and Manchester City entertain Stoke City, after West Brom and Fulham kick off the 2013 action.
Reading gained their second victory of the season after Pavel Pogrebnyak's goal sealed a 1-0 win over visiting West Ham.
Reading manager Brian McDermott was a relieved man after his side beat West Ham 1-0.
Man Utd ended 2012 with a seven-point lead, as Man City edged out Norwich City in a thriller and Arsenal hit seven past Newcastle.