Real Madrid have reached agreement to sign Kylian Mbappe from Monaco for a world record 180 million euros ($210m, £160m), Spanish media reported on Tuesday.
Sports daily Marca, citing sources close to the negotiations, said the teenage striker is expected to joining Real “in the next few days” on a six year deal.
French newspapers Le Parisien and Nice Matin said Monaco had denied the report.
But Marca insisted that Real are set to pay between 150-160m euros with add-ons of between 20 and 30m, dwarfing the current world transfer record of 105m Manchester United paid to lure Paul Pogba from Juventus last year.
Real are looking to fill the void left by Alvaro Morata who joined English Premier League champions Chelsea last Friday.
If he does arrive at Zinedine Zidane’s European champions the 18-year-old will be on a net annual salary of “seven million” euros, Marca said.
Mbappe, under contract at Monaco until 2019, has been wooed by some of Europes’ top clubs, including Monaco’s arch Ligue rivals Paris Saint-Germain.
Last week Monaco issued a warning to the likes of Real and PSG to lay off their starlet.
“Top European football clubs made contact with Kylian Mbappé and his entourage without our authorisation,” Monaco said on their website.
The club said they wanted to remind these clubs that such actions are contrary to French and international regulations.
Mbappe scored six goals in 10 Champions League outings and 15 in Ligue 1 as he exploded onto the scene in the second half of last season.
On Monday Monaco lost full-back Benjamin Mendy to Manchester City in a world record 52 million (58 million euros, $67 million) deal for a defender.
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