Leicester are preparing to make a swoop for Reading's Matt Mills, according to Sky Sports.

Wolves have been targeting the 24-year-old defender this summer but have fallen short of his £4 million asking price in two previous bids.

Now they face added competition from Championship side Leicester, who have been on a summer spending spree in the hopes of securing promotion next season.

Sven-Goran Erikkson has already picked up Kasper Schmeichel, Neil Danns and Lee Peltier, with a move for Tsepo Masilela pending.

Earlier today Wolves confirmed that defender Jody Craddock had signed a one-year extension at Molineux.