Sources: Leicester City agree deal to sign Brighton star Tommy Watson

Leicester City have agreed a deal to sign Brighton winger Tommy Watson on loan for the season, sources have told Football Insider.

The Foxes have beaten off a number of Championship rivals to secure the 20-year-old's signature after Brighton put clubs on alert over his availability this summer.

Watson spent the second half of last season on loan at promotion contenders Millwall, but started just two games in the second tier as he struggled to impress.

However, Brighton still have high hopes for the winger's development, and feel Leicester will be the ideal destination for him to play more regular first-team minutes.

Watson's arrival on loan is seen as a major coup for Russell Martin's side ahead of the start of their League One campaign as they eye promotion at the first time of asking.

He has three years remaining on his contract at Brighton, who still see him as one for the future after winning the race to sign him from Sunderland last summer.

Why have Leicester City targeted Tommy Watson?

Football Insider exclusively revealed in May that Brighton are planning to send Watson out on loan in search of first-team football as he is not part of Fabian Hurzeler's plans.

That decision placed a number of EFL clubs on high alert, kicking off a race for the winger's signature despite what ultimately proved to be a frustrating spell at Millwall.

Martin has been keen to bolster his wide options at the King Power Stadium this summer following the departures of stars including Abdul Fatawu and Jeremy Monga.

Watson is seen as the ideal fit for the new manager's system, while his availability on loan works within the Foxes' finances as they aim to avoid overspending.

The 20-year-old has shown flashes of brilliance despite his lack of minutes at Brighton, including a dominant display against Barnsley where he picked up three assists.

Leicester feel his arrival will give them the edge against League One opponents as they push forward with ambitious plans to secure a quick-fire promotion to the Championship.

Which other clubs were in the race to sign Watson?

Leicester have pulled off a major coup by landing an agreement for Watson, having beaten a number of rival clubs in higher divisions to his signature.

After Brighton made him available for loan, multiple Championship clubs including the likes of West Ham, West Brom and Preston North End have all shown an interest.

Meanwhile, Football Insider revealed on 14 July that Derby County have expressed their interest in signing Watson and hoped to lure him to Pride Park this summer.

John Eustace has been prioritising the addition of a new wide-man this summer given his side's lack of depth out wide, and Watson was viewed as a leading target.

Leicester have now beaten their rivals to the punch, however, and will add Watson to their squad ahead of the start of the new season on 8 August.