The Pozzo family knows the 25-year-old forward well from his time at Udinese and is trying to push through a transfer before the end of the window.
Watford is close to signing Juventus attacking midfielder Roberto Pereyra for around 15 million euros ($16.92M), sources tell Goal.
The 25-year-old has agreed to terms with the Hornets and discussed a potential move to the Premier League with manager Walter Mazzarri, and will travel to England on Wednesday to finalize a deal.
Watford is keen to add a creative midfielder to the squad following Almen Abdi's departure to Sheffield Wednesday.