As reported on HTFP in September, Trinity Mirror confirmed it was in talks to buy out the 80pc of shares in Local World it does not already own.
Media Guardian has now reported a £220m takeover deal is set to be announced, which could be completed this week.
Both companies have declined to comment on the speculation.
A merger between Trinity and Local World would create by far the biggest regional newspaper company in the UK with a publishing footprint covering 15 of the top 25 centres of population in England and Wales.
Trinity Mirror already owns the main daily newspaper titles in Birmingham, Manchester, Liverpool, Cardiff, Coventry and Newcastle.
Control of Local World would enable it to add Bristol, Nottingham, Leicester, Hull, Plymouth, Stoke, Derby and Swansea to that list.
After September’s announcement, Welsh Assembly member Peter Black raised concerns journalist jobs in South Wales could be at risk if the merger were to go ahead.
The deal would mean Trinity Mirror would own three of the four daily titles in the region – the South Wales Echo, the Western Mail and the South Wales Evening Post – along with the North Wales Daily Post and a clutch of weeklies.
DMGT, which previously owned Northcliffe, remains the biggest shareholder with a 38.7pc stake, while Iliffe parent company Yattendon plc owns 21.3pc.
The other shareholdings are split between a variety of investors.
According to the Media Guardian report, Yattendon may keep some of its 39 titles out of the Trinity Mirror deal.
At the time Local World was created, the company was valued at around £70m, with Trinity Mirror paying £14.2m for its 20pc stake.