After watching Leicester beat Scunthorpe United 3-1 at the Walkers Stadium, the club issued a statement announcing a media conference for Sunday morning.
Eriksson told reporters he expected the deal to be completed on Sunday and said the owners had the ambition to take the Midlands club back to the Premier League for the first time since 2004.
"I am here to watch the game," he added, "but I hope the deal will be done tomorrow."
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Eriksson is expected to be named as the successor to Paulo Sousa who was sacked on Friday after Leicester's opening nine games of the season had produced just one win.
The Swede became the first foreigner to coach England in 2001, a position he held until 2006. He has also coached English clubs Manchester City and Notts County while his most recent job was coaching Ivory Coast at the World Cup in South Africa.
(Reporting by Mike Collett, editing by Ken Ferris)
