Andrey Santos is set to return to Brazil a month after he left Vasco da Gama for Chelsea in the winter market.
The Blues are ready to send him out on loan after he failed to obtain a work permit to play in England.
Palmeiras are expected to be the Chelsea player’s next destination, according to Globo Esporte.
The Brazil U20 international is already in his homeland, ‘waiting’ to undergo medical tests and ‘sign the contract’ with Palmeiras.
The report adds all parties involved in the deal are ‘confident’ the operation will go through.
Santos will join the South American side on loan but the length of the deal needs to be sorted out. Chelsea wanted it until the end of this season while Palmeiras are targeting to keep the midfielder until December.
The Brazilian club have convinced Graham Potter’s side to have Santos until the end of the year, but Chelsea will include a clause that will allow them to recall him in the summer.
If the Premier League side exercise it, Palmeiras want to be compensated with a ‘counterpart’ or have Chelsea return the loan fee. This possibility would only arise after the end of the season.