Patrick Roberts should complete a one-year loan move to Celtic next week, BBC Scotland has learned.
The 20-year-old winger spent 18 months with Celtic before moving back to parent club Manchester City at the end of last season.
He has turned down potential moves to Nice and Southampton to make a return to Glasgow.
Roberts scored 17 goals and helped the club win two league titles, one Scottish Cup and a League Cup.
He started his career with Fulham and joined City for a fee of about £12m in 2015. In total, Roberts has made 25 senior appearances in English club football.
However, the England Under-20 international has played 60 times for Celtic.
The Scottish champions visit Kilmarnock on Saturday in the Premiership and then play the second leg of their Champions League play-off against Astana in Kazakhstan on Tuesday, with Brendan Rodgers' side leading 5-0 following Wednesday's first leg in Glasgow.
Celtic have signed winger Jonny Hayes and midfielders Olivier Ntcham and Kundai Benyu so far during the summer transfer window.