Newcastle United are holding talks with Manchester United striker Alan Smith after agreeing a fee with The Red Devils.

The former Leeds United forward has fallen down the pecking order under Sir Alex Ferguson and is keen to secure first-team football.

Middlesbrough were thought to be leading the chase for the England international, but The Magpies have now moved to the head of the queue.

Sam Allardyce is keen to strengthen his squad and is set to boost his transfer kitty after agreeing a fee with West Ham for pacey midfielder Kieron Dyer.

"I am hoping that the Alan Smith deal will go through on Thursday," Allardyce told the Evening Chronicle.

"He has other clubs to consider and I am hoping we are top of his list."

Smith made just nine Premier League appearances for The Red Devils last term after recovering from the broken leg suffered against Liverpool.

A move to St James' Park could see Smith renew his partnership with Mark Viduka, whom he played alongside during their days at Elland Road.