Leicester have made an offer of just under £500,000 for Coventry youngster George Thomas, Sky Sports News HQ understands.
The 20-year-old is out of contract but Coventry are due compensation and the Foxes are trying to negotiate a settlement.
Thomas - a Wales U20 international who scored the winner for Coventry in their EFL Trophy triumph at Wembley in April - is also of interest to Swansea City.
He is a product of Coventry's academy and the club offered him a new deal, meaning they are due compensation for a player who has been on their books for 11 years.
Thomas was born in Leicester and still lives in the city. He has scored nine goals in 53 appearances for Coventry.