Borussia Dortmund are set to announce their third signing of the summer, with Henrikh Mkhitaryan following Pierre-Emerick Aubameyang and Sokratis to Westphalia.
The Guardian reported that Dortmund executives Hans-Joachim Watzke and Michael Zorc met Shaktar executives in Donetsk on Friday and agreed on a transfer for the 24-year old midfielder.
Dortmund now have to agree personal terms with Mkhitaryan, before the signing can be officially announced.
Mkhitaryan is said to be the preferred choice of Dortmund coach Jurgen Klopp to replace Mario Gotze, who joined Bayern Munich this summer.
Dortmund will be paying around €25 million (£21.5 million) for the player who scored 25 goals in 29 games in the Ukranian Premier League last season.
Mkhitaryan was reportedly close to signing for Liverpool, but now it seems that either he preferred a move to Dortmund, or that Dortmund managed to outbid Liverpool.
The Armenian international, who has 37 caps for his country, is a fan favourite in Donetsk, and is considered a national hero in Armenia.
The transfer rumour has led to some skepticism in Germany, with the high price tag raising many questions.
However, Mkhitaryan should boost Dortmund's already strong offensive capabilities. He excelled last season as an offensive midfielder, playing centrally behind the strikers.
And with players like Mkhitaryan, Robert Lewandowski, Jakub Blaszczykowski, Marco Reus and fellow new signing Aubameyang, Dortmund fans should be able to look forward to some nice attacking play next season.
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