Sunderland and Napoli have agreed a £2 million fee for the permanent transfer of Emanuele Giaccherini.
The midfielder signed for the Black Cats from Juventus in 2013 but failed to have much of an impact, joining Bologna on loan for the entirety of last season.
With just one year left on his contract, Sky Sports report Sunderland have opted to cash in and allow Giaccherini to return to Serie A permanently, having started only 18 Premier League games during his stay at the Stadium of Light.
Giaccherini was a key part of Italy's midfield at Euro 2016, playing in four of their five games and scoring once as they reached the quarter-final stage.
Napoli's 18-game unbeaten streak in all competitions came to an end after losing 3-2 at Bologna in a nail-biting contest at the Stadio Renato Dall'Ara.
Mattia Destro's brace either side of Luca Rossettini's first-half goal looked to have put the game to bed but Gonzalo Higuain scored two goals in the final three minutes of normal time to set up a tense finish.
However the hosts held on to move up to 15th while Napoli missed the opportunity to leapfrog Inter Milan at the top of the Serie A table.
Leicester City have completed the signing of Swiss midfielder Gokhan Inler from Napoli, the club have confirmed.
The Premier League club have paid in the region of £5.5million for the player's services, with Inler penning a three-year deal at the King Power Stadium.
Leicester City will sign Napoli midfielder Gokhan Inler in the next 24 hours for a fee in the region of £5.5million.
The Swiss international has already completed a medical and agreed personal terms, meaning only the formalities need to be completed.
Argentina international striker Gonzalo Higuain will not leave Napoli this summer, according to club president Aurelio De Laurentiis.
Higuain has been linked with a move to the Premier League, with Chelsea, Arsenal and Manchester United thought to be keen to acquire the 27-year-old's services.
The former Real Madrid star has three years left on his contract with Napoli and the Serie A club have no intention of letting him leave.
"There is absolutely no chance that Higuain will leave," De Laurentiis told Italian TV station Mediaset. "Gonzalo is a Napoli player.
"I have made his (release) clause clear in order to stop the constant speculation that appears in the press.
"There is a precise clause."
Napoli paid Real Madrid (£28million) to sign Higuain in the summer of 2013 and any potential suitors would have to splash out £66.8million, Higuain's release clause, to acquire the player.
Pepe Reina has returned to Napoli on a permanent basis after leaving Bayern Munich.
The former Liverpool goalkeeper, who spent a year on loan at the Stadio San Paolo in 2013-14 before moving to the German side, is now back in Italy.
"Pepe Reina is a player of Napoli," Napoli announced on their website.
"The Spanish goalkeeper had a medical at Villa Stuart this morning, accompanied by team doctor Dr De Nicola, and then signed the contract with President De Laurentiis."
Terms of the deal were not disclosed.
Bayern Munich goalkeeper Jose Reina will undergo a medical in Rome on Tuesday as he closes in on a return to Napoli.
Reina, 32, played for Napoli in the 2013-14 campaign on loan from Liverpool before joining Bayern Munich on a permanent transfer last summer.
Napoli will only consider selling Argentinian striker Gonzalo Higuain to Man Utd or Arsenal this summer if they agree to pay his £72m release clause.
Higuain, who is currently competing with Argentina at the Copa America, has been strongly linked with a move to England.
Premier League sides Manchester United and Arsenal are reportedly eager to acquire the 27-year-old while Atletico Madrid are also in the race to sign Higuain.
"Higuain's future? If a player has a contract this contract has to be respected," Napoli president Aurelio De Laurentiis said to Gazzetta dello Sport. "If a madman arrives and offers to pay his buy-out clause then one must consider it.
"Otherwise Pipita (Higuain) will remain here."