According to the reports, Town was his first choice of an investment, but the move stalled so he has now turned his attention to Leicester, who have confirmed that they are looking at new options regarding investment from outside sources.
A statement from the Foxes board on the speculation reads: "We can confirm that the club has been actively looking at methods of generating new investment.
"Discussions have been held with a number of interested parties, and the board is currently considering a variety of options."
If the reports are correct, it is suggested that Mandaric could be in place at his new club by the end of the week,