On Sunday afternoon, it was confirmed that Gary O'Neil had been removed from his position in the dugout after a sustained run of poor form.
The 2-1 reverse at home to Ipswich Town over the weekend represented Wolves' fourth successive defeat and 11th in 16 Premier League fixtures during 2024-25.
Within hours of O'Neil's departure, reports emerges that Pereira had been identified as the preferred candidate to succeed him at Molineux.
According to sports broadcaster Ben Jacobs, who was commenting on X, Wolves have made progress in their efforts to bring in the Portuguese.
Progress made in Pereira chase
Jacobs says that the Al Shabab boss has verbally agreed personal terms with the West Midlands outfit ahead of his expected arrival.
There is now an expectation that Pereira will travel to England to finalise a move to the Premier League, something that is described as "his dream".
The 56-year-old may allegedly be in a position to take charge of training as early as Wednesday with his release from Al Shabab believed to be a formality.
Pereira is in line to become a Premier League manager almost three years on from his failed move to Everton, who instead appointed Frank Lampard after a backlash from supporters.
In charge for Leicester game?
All parties are currently anticipating that Pereira will be in the dugout when Wolves face Leicester City at the King Power Stadium on Sunday afternoon.
The match is viewed as a key battle for Premier League survival with Leicester sitting five points clear of Wolves in 17th position.
While Wolves have collected nine points from their eight league games, Wolves have accumulated just five points from the same amount of away fixtures.
Pereira would be taking charge of his first game in Europe since being leaving Fenerbahce in December 2021. As well as Al Shabab, he has also managed Brazilian giants Corinthians and Flamengo.
Written by
Darren Plant