Wolves are set to sign Scunthorpe's Republic of Ireland under-21 international striker Andy Keogh after the two clubs agreed a fee that could rise to £850,000.

The 20-year-old is understood to have had a medical today ahead of signing a three-year deal.

Mick McCarthy's side have agreed an initial £600,000 fee with Scunthorpe to make Keogh their sixth signing of the transfer window. Confirmation is expected to come tomorrow.

Wolves chief executive Jez Moxey said: "Andy is a player we have been trying to sign for the manager for some time. We finally reached an agreement with Scunthorpe today and - subject to a satisfactory medical - he will become our player and begin training in the morning.

"This is an exciting signing for us as, at 20 years old, he is a player with bags of potential."

Wolves previously tried to sign Keogh as a youth trainee but he opted instead for Leeds, whom he left for Scunthorpe in January 2005. Keogh has scored seven goals in 32 appearances this season.