Hearts are in talks to sign David Milinkovic after agreeing a deal with Genoa, Press Association Sport understands.
The winger proved popular among the Hearts fans during a loan spell last season and is currently in talks with the club over personal terms to secure a move back to Edinburgh.
The Jambos have reportedly agreed a six-figure sum to bring Milinkovic back to the club, but it will be considerably less than the £600,000 they were quoted by the Italian club.
There was further good news for fans as the club announced a one-year contract extension for experienced defender Aaron Hughes on Tuesday, despite an injury-hit season.
Hughes, capped 112 times by Northern Ireland, was restricted to 23 appearances in all competitions for his club but has agreed a deal that will take him past his 39th birthday after making the decision to carry on playing.
Speaking to HeartsTV, he said: “I needed a little bit of time to figure out if I was able to do another year, mentally and physically.
“I came to the decision that I’d like to stay on and I’m very grateful to the club for giving me the opportunity.
It has already been a busy summer for Jambos boss Craig Levein, who has brought in eight players as he looks to improve on their sixth-placed finish, and that is set to become nine later this week with the arrival of Peter Haring.
The Austrian defender will complete a move to Edinburgh later in the week after Hearts activated a release clause in his contract with SV Ried.
The club has confirmed, however, that Jon McLaughlin has left the club after his one-year deal came to an end.
The Scotland goalkeeper has been open about considering his options despite having an offer on the table from Hearts, and is thought to be set for a return to England after an impressive campaign north of the border.