Crystal Palace are close to agreeing a deal to sign James McCarthy from Everton for up to £8.5m, Sky Sports News understands.
Palace have already had one bid for the 28-year-old midfielder rejected with disagreements over the payment structure.
The Eagles want to sign Republic of Ireland international McCarthy, regardless of any potential swap deal with the Toffees involving Wilfried Zaha.
Everton have had a £55m bid for Zaha turned down already this summer.
On Monday, Palace completed the signing of free-agent Gary Cahill on a two-year contract.
They are also in the hunt to sign Real Betis midfielder Victor Camarasa, along with Burnley, Sky Sports News understands.
Follow Deadline Day on Sky Sports
It's Transfer Deadline Day for the Premier League and Championship on Thursday, August 8 and Sky Sports will be bringing you all the latest news on who your club is signing.
Start your day with Deadline Day Breakfast (6am) ahead of a special Good Morning Transfers show (9am), with Deadline Day - The Countdown (4pm) taking you to the 5pm deadline.
The Transfer Show - Deadline Day at 6pm will analyse the big moves before Deadline Day at Ten rounds up all the transfer headlines.