Coventry's negotiations with Falkirk and manager Steven Pressley are "progressing well", the League One club have revealed.
Falkirk granted permission for the Sky Blues to speak to Pressley after he emerged as their top target to succeed Mark Robins, who left to join Huddersfield last month.
Coventry development director Steve Waggott is confident that all parties can soon reach an agreement as they discuss personal terms and a compensation package for the Scottish First Division club.
Waggott said: "We've held very positive talks with Steven Pressley and Falkirk and they are progressing well.
"We will continue working on the deal in order to reach a conclusion that is good for all parties."
Meanwhile, Falkirk technical director Alex Smith has admitted he would be keen to take over management duties from Pressley, although assistant boss Stevie Crawford would be a strong contender for the role.
"Steven has one or two things to tidy up with Coventry but I think he will be on his way," Smith said. "So I will be taking things with Stevie Crawford this weekend and we'll take it from there.
"I wanted to help the club and I expect we will go along on this basis until the end of the season.
"If the club were to ask me to take over on a permanent basis, that wouldn't be a problem for me. When you are a manager for a long time like I was, you do miss certain things when you give it up. Things like the big decisions.
"But Stevie Crawford has also stayed on and being an ex-manager with East Fife himself, the club might decide to give him the opportunity."