Laurent Blanc has reportedly agreed to take charge of Paris Saint-Germain, which in turn would allow Carlo Ancelotti to succeed Jose Mourinho at Real Madrid.
Italian coach Ancelotti recently revealed that he was keen to try his luck at the Bernabeu following 18 months in the French capital, but PSG president Nasser Al-Khelaifi refused to allow talks between the two parties to take place.
However, Al-Khelaifi has since held a meeting with former France head coach Blanc and the pair have reached an agreement over a 12-month deal, according to Le Parisien.
Should the speculation be confirmed, it is likely to free up Ancelotti to begin negotiations with Los Blancos.