Leicester have already agreed a fee and terms with City for the Nigeria international but have had to be patient during negotiations.
But now the striker is poised to officially become a Leicester player in a huge coup for the former champions and new manager Craig Shakespeare.
It is understood that Leicester have secured Iheanacho’s signature ahead of Tottenham Hotspur, West Ham United and Monaco. Manchester City have insisted on a buy-back option for the academy product.
Iheanacho, 20, could make his Leicester debut in Friday’s friendly against Borussia Monchengladbach at the King Power Stadium though, at this stage, it is thought unlikely due to a number of issues still to be resolved. They are not threatening the deal, however, and are purely linked to his disagreement with his previous agents.