Lyon confirmed that they have agreed a four-year contract for United right-back Rafael, who will be unveiled later this week.
Rafael, 25, was free to leave Old Trafford after over seven years of service.
Meanwhile, executive vice chairman Ed Woodward is reportedly close to securing the arrival of Pedro from Barcelona.
Pedro would become the sixth new signing at the club should his £20million switch go through and his former manager, Pep Guardiola, says he could hack it in the Premier League.
And while Woodward works on the winger's deal, he is also reportedly considering an offer for Real Madrid centre-half Pepe.
The Mirror claim the 32-year-old has been lined up, possibly as a replacement transfer target for Sergio Ramos.
While United enjoy a busy day in the transfer market, Chelsea remain in limbo over the arrival of Baba Rahman from Augsburg.
It was hoped a £25m deal would have been completed today as Chelsea manager Jose Mourinho seeks new recruits ahead of the season opener this weekend.
But nothing has yet been finalised, leading Augsburg manager Markus Weinzierl to get a little impatient.
"It's clear that I and all of us here want the facts soon," Weinzierl told Kicker.
Leeds United are close to wrapping up the signing of Brentford winger Stuart Dallas.
The 24-year-old boasts five caps for Northern Ireland and had a medical at the club today, claim the BBC.
He has played under Leeds manager Uwe Rosler when the German was boss at Brentford.
A former fan favourite at Leeds, Max Gradel, is set to join Bournemouth after completing a medical.
Gradel left Leeds for Ligue 1 side St Etienne in 2011, having previously had a loan spell at Bournemouth in the 2007/08 season.
A fee of around £7m has been set for the Ivory Coast international.
Conor Wickham has left Sunderland for Crystal Palace.
The striker, who costs the Eagles £9m, says he wants a "fresh start" after heading to Selhurst Park.
“I think I needed the fresh start, I had four years up north and it’s been a bit stop-start,” said Wickham.
“Now I’ve come back home and I can settle down and see my family a bit more and hopefully let my football do the talking.”
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