Prospective Manchester City owner Thaksin Shinawatra has confirmed he has held talks with Sven-Goran Eriksson about City's vacant manager's job.
Eriksson was criticised for his spell in charge of England in some quarters
It follows BBC Sport revealing on Wednesday that the former England coach has been offered the job providing the former Thai PM completes his takeover.
Thaksin lodged a formal offer of £81.6m for City on Thursday.
He cannot progress any further with the appointment of a new manager until he secures 75% of City's shares.
BBC Radio Five Live football correspondent Jonathan Legard said on Wednesday: "I am told that Eriksson has been offered the job by Thaksin. Whether he takes over is another matter. He is thinking it over.
"I have also been told it is not as clear-cut as the proposal involving Claudio Ranieri."
Thaksin confirmed to the BBC on Thursday that he is taking steps to appoint a new manager at Eastlands.
"I have my advisors working on it," Thaksin explained. "Sven is one of the names they have given me.
"Sven has a very good reputation, he is a very capable coach.
"He has good connections, especially with the main players in the UK and Europe and that would help the club in getting new players to join in the future.
"I met him once, last week maybe. I had my advisor talk to him and just say hello and touch base. I didn't talk to him that long because my advisor did that interview.
"I have spoken to my financial advisors and they are quite confident that I will get 75% soon.
"I can't say anything until next week but I hope to have a manager soon. When I have got 75% I can decide many important issues."
Eriksson, 59, has been out of work since stepping down from the England job after the 2006 World Cup.
I am never one to disappoint. When I decided to invest I decided to bring the club forward. I am ready bring new ideas, vision and investment to the club
Thaksin Shinawatra on Man City
He has enjoyed plenty of success in club coaching with Gothenburg, Benfica, Roma, Fiorentina, Sampdoria and Lazio.
The Swede is the only manager to have won a league and cup double in three countries - Sweden, Portugal and Italy - with Gothenburg, Benfica and Lazio.
It is understood there are other targets on Thaksin's list, but Eriksson is the preferred option.
Former Chelsea boss Ranieri was initially lined up to succeed sacked Stuart Pearce at City, but opted to join Juventus.
City's board intends to back the bid from UK Sports Investments, which is indirectly controlled by Thaksin and his son and daughter.
But Thaksin will have to pass the Premier League's standard "fit and proper person" test before being able to complete the proposed takeover.
Thai prosecutors have recently filed corruption charges against Thaksin, who has had his bank accounts frozen, but he insists that will not affect the takeover.
There will be a new manager definitely and we will add to the squad too. The existing players are very good but we will have to add more
Thaksin Shinawatra on Man City
Thaksin was interested in taking control of Fulham in 2003 and Liverpool in 2004 before launching his bid for City.
"I was still interested in a Premier League football club when I came across Manchester City, who are what the English people call a sleeping giant," he explained.
"I liked the club because it was over 100 years old, a big club and with a great stadium.
"I looked around last week and I love it. The ground is well-designed and big - suitable not just for football but for other activities as well."
"It makes it easier to move the club forward because the potential is there - and I am very interested in moving City forward.
"But the most valuable thing is the fans - they are extremely loyal. Even though the club has not won anything for 31 years they are still supporting them and that is very importatnt to me."
Thaksin also underlined his ambitions for City.
"I am never one to disappoint," he added. "When I decided to invest I decided to bring the club forward. I am ready to bring new ideas, vision and investment to the club.
"I can dream but my dream cannot come true quickly so we need to build the club step by step.
"There will be a new manager definitely and we will add to the squad too. The existing players are very good but we will have to add more.
"That is why we want to start as soon as possible. We want to get a new coach so we can start to assemble a new team to help us do well next season.
"I cannot say exactly how much the new manager will have to spend.
"But when I asked how many players do City need, my advisors said two strikers, two midfielders and one goalkeeper.
"If we identify the right person and they agree to join us then we have to invest. I am already buying the boat, I need to buy the engine too."