United will reportedly pay the Spanish giant $60m upfront with an additional $10m for the midfielder’s services.
Neither Manchester United, Real Madrid or Casemiro’s representatives were immediately available for comment when contacted by CNN.
Speaking at a press conference on Friday, Ancelotti confirmed that he had spoken to Casemiro, who expressed his intention to leave the club.
“He wants to take on a new challenge, the club understands that,” Ancelotti told reporters ahead of Real Madrid’s La Liga match against Celta Vigo.
“Casemiro, for everything he has done and for the person he is, we must respect his wishes. Negotiations are ongoing, there is nothing official, he remains our player, but he wants to leave.”
The Brazilian has won three La Liga titles and five UEFA Champions Leagues since joining Real Madrid in 2013.
The 30-year-old, whose current contract runs until June 2025, has made 222 appearances for Los Blancos and scored 24 goals.
The defensive midfielder will be Manchester United manager Erik ten Hag’s fourth addition this summer, as the club has already signed left-back Tyrell Malasia, midfielder Christian Eriksen and defender Lisandro Martinez.
United are currently at the bottom of the Premier League, having endured a torrid start to the new season with back-to-back defeats in their first two matches. United lost 4-0 away at Brentford last Saturday, after which Ten Hag said his team’s plan was “thrown into the bin”.
“They (the players) make bad decisions and that’s football. This is a game of mistakes, and we get punished, ”ten Hag later said.
“It’s naive how we played today. We need to play more directly. We attracted them, the space was high on the field… We will learn, we must learn.
On Monday, United will host Liverpool at Old Trafford in a showdown between two of the league’s strongest rivals.