The Austrian international, currently playing for Lens in Ligue 1, is expected to cost around £16 million.
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That is a similar fee to the one Wolves paid for Emmanuel Agbadou earlier in the transfer window.
The club is aiming to strengthen their defense following the sale of Max Kilman and a long-term injury to Yerson Mosquera.
Danso has been on Wolves' radar for over a year, and negotiations with Lens are ongoing.
Wolves hope to finalize the deal before the transfer window closes in the coming days, per The Telegraph.
