Nottingham Forest have agreed a club record fee in the region of £13m for Benfica midfielder Joao Carvalho, Sky Sports News understands.
The deal, subject to a medical, smashes Forest's transfer record of £6.2m for Britt Assombalonga from Peterborough in August 2014.
Carvalho has played at every age level for Portugal and has also been loaned out to Vitoria Setubal in order to gain more first-team experience.
Carvalho's team-mate Diogo Goncalves is also expected to join Forest on a season-long loan, with the deals expected to be completed by this weekend.
Both players are represented by Jorge Mendes, who has worked closely in recent months with Wolves.