By Sami Mokbel

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Watford could become a feeder club to Serie A side Udinese if the wealthy Pozzo family complete their proposed Vicarage Road takeover.

The Championship club released a statement on Tuesday confirming the Italian's had secured a deal 'in principle' to acquire the Hornets from current owner Laurence Bassini.

Takeover: Udinese owner Giampaolo Pozzo is set to take charge at Championship club Watford

Takeover: Udinese owner Giampaolo Pozzo is set to take charge at Championship club Watford

However Gino Pozzo - son of Giampaolo, who owns Udinese and Spanish side Granada - later insisted a deal had not been finalised.

Taking over: Italian businessman Giampaolo Pozzo

Taking over: Italian businessman Giampaolo Pozzo

He said: 'The Pozzo family wishes to clarify that any current news or rumour relative to the acquisition of Watford Football Club should be considered premature.

'While there is a concrete interest, the negotiation has not yet reached the point of being officially signed off with the signatures of the parties on the contracts.'

Nevertheless, a deal is still expected to be completed in the coming days - and it is understood the Italian family would look to send some of Udinese's brightest young talent on loan to Watford to increase their first-team experience.

Reports in Italy have also indicated that the Pozzo's will also look to replace current manager Sean Dyche with Chelsea legend Gianfranco Zola.

Project: Gianfranco Zola could be involved at Watford following the club's takeover

Project: Zola could be involved at Watford following the club's takeover