Since January, Osvaldo has been on loan at Juventus, helping the Turin side to the Serie A title, having been exiled from Southampton for being involved in a series of disciplinary issues, the last of which was a training ground brawl with teammate Jose Fonte.
The 28-year-old, who has scored five goals in all competitions this season, only joined Southampton in August 2013, becoming their record signing when signed from Roma.
Juventus have the option of making the loan deal permanent this summer for a fee of £15.6m, but are reportedly unlikely to take up that option due to some disappointing performances for the club, managing just 325 minutes of action in Serie A.
And with Osvaldo set to move on, Valencia have emerged as the leading contenders for his signing, but they may need Southampton to lower their asking price for any permanent deal to take place. If not, they may have to be content with a season-long loan, having initially targeted the Italian international in January.
