Borussia Dortmund have announced that they have agreed in principle to sign Ilkay Gundogan from Nurnberg for a reported fee of €4million (£3.5m).
The Bundesliga champions say that the Germany Under 21 star will move on a four-year contract as they begin building for next season.
Gundogan, who was born in Gelsenkirchen, the home of Dortmund's arch-rivals, Schalke, has scored five goals in 24 league games for Nurnberg this season.
"We have agreed in principle to a four-year contract," said Dortmund director of sport Michael Zorc.
Gundogan is considered to be a replacement for Turkey international Nuri Sahin, who is reportedly set to join Real Madrid.
"Ilkay is a fast and well-rounded player. He will fit perfectly into our style of football," said Dortmund coach Jurgen Klopp.
Meanwhile, Nurnberg defender Phillip Wollscheid, who had been linked with Bayer Leverkusen, has signed a new contract which will keep him at the club until the summer of 2014.