The Spaniard was the Magpies’ top scorer with 13 goals last season
Leicester are close to completing a £56million double deal for Ayoze Perez and Youri Tielemans.
The Telegraph report Tielemans will cost a club record £40m, while Newcastle forward Perez may go for £16m – his reported release clause.
Tielemans was on loan at the club from Monaco in the second half of last season and is understood to be keen on beginning pre-season training under Brendan Rodgers.
Perez was the Magpies’ top scorer with 13 goals last season in what was the forward’s most prolific campaign since joining the club for £1.5million from Tenerife in 2014.
Newcastle fans are already still reeling from news that manager Rafa Benitez left for Chinese Super League club Dalian Yifang after failing to agree a new contract with St James’ Park chiefs last month.
Perez and Tielemans will become Rodgers’ second and third signings of the summer after the Foxes bought James Justin from Luton.
Belgium international Tielemans’ displays in the Premier League caught the attention of Tottenham and Manchester United.
Last month, Perez could not guarantee he would be a Newcastle player next season.
He said: “It’s something that I cannot say right now. You cannot guarantee it. We’ll see.
“It’s going to be a long summer. Obviously, there’s going to be a day when you make a decision. It depends on many things. Let’s see what happens.
“Obviously, this place is always going to be in my heart, whatever happens. We’ll see what happens.
“Yes [it would be hard to leave here], that’s something that’s always in [my] mind. This kind of environment – you don’t see it in many places.
“It’s going to be a long summer, whatever can happen. I cannot guarantee anything, but we’ll see. It’s time to rest, to enjoy, and be with my family and friends.”
Perez, whose current deal runs out in 2021, has scored 48 goals in 195 appearances for Newcastle.
The Telegraph also report Leicester will continue their hardline stance regarding defender Harry Maguire.
The centre-back is wanted by both Manchester clubs, but the Foxes are said to want around £90m for him.