Watford have agreed a deal to transfer ownership of the Championship club to the Pozzo family.
The Italians, who own Serie A side Udinese and Spanish outfit Granada, have been strongly linked with a move for the Hornets in recent months.
And it has now been announced on the club's official website that an agreement has been struck for the Pozzos to assume control.
A club statement read: "The board of directors, acting on behalf of Watford Football Club, is pleased to confirm that agreement has been reached in principle for the transfer of ownership to the Pozzo family.
"Representatives from the family have been in discussions with Watford Football Club and both parties have agreed initial terms.
"Further information from Watford Football Club will be released, as appropriate, via its official website, watfordfc.com."
Current owner Laurence Bassini, the frontman for the Watford FC Limited group who bought the club 15 months ago, has had a bumpy ride during his time in charge.
He had a public falling out with chairman Graham Taylor last November after the former England manager criticised him for not showing up at a fans' forum.
Taylor stepped down from his non-executive role last month.
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