Dietmar Hamann is expected to agree a move to Manchester City, paving the way for Joey Barton to move from Eastlands.
The future of the two players could be decided by the weekend, with City leading the race to sign 32-year-old Hamann ahead of Bolton on a free transfer.
Bolton believed they had captured the former Germany international, who was rumoured to have had a medical at the Reebok Stadium this week before flying back to his homeland to work as a World Cup pundit.
City are bracing themselves for a bid from Middlesbrough for Barton but insist they have had no contact yet with new Boro boss Gareth Southgate. They also refused to make any comment on the Hamann situation.
Boro have been equally tight-lipped over Barton, a player they were chasing during the last transfer window when the Liverpool-born midfielder was in the middle of a contract wrangle which enraged City fans.
He was offered a new four-year deal on £28,000 a week but turned it down. That offer is still on the table, but City would almost certainly be prepared to do business with Boro for a fee of around £3 million.
The arrival of Hamann would be a major boost for City manager Pearce, whose squad is somewhat thin after several summer departures. Only Paul Dickov, from Blackburn, and French midfielder Ousmane Dabo, on a free transfer from Lazio, have arrived at the club.
Pearce, though, sees Hamann and Dabo - an experienced Serie A player - as a solid central-midfield partnership for next season.
Meanwhile, defender Gabriel Paletta has completed his £2million move to Anfield after signing a four-year contract. PA