The Honduras international is highly-valued by Harry Redknapp but he is willing to let him go because of the emergence of midfielder Sandro.
Prize asset: Wilson Palacios (right) is still highly rated by Spurs
Napoli had hoped to strike a deal for ?8m by the weekend but Tottenham want a return on the ?12m they paid to Wigan.
Palacios said: 'The next few days will be key for my future. There are advanced negotiations but I will await news from London.'
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?Explore more:People: Wilson Palacios, Harry Redknapp Places: London, Honduras
Source: Daily Mail
Source: Daily Mail