The 19-year-old is out of favour at Molineux and has subsequently caught the eye of a string of Championship clubs - including Newcastle and Middlesbrough.
But he is expected to agree terms on a three-month emergency loan deal with City on Thursday and will train with the Sky Blues ahead of their clash against Boro at the weekend.
"We are in for a striker who should have been in on Monday but one or two things have occurred and we are hoping he will be in on Thursday," manager Chris Coleman told the Coventry Telegraph.
"The kid we are talking about, there have been a lot of clubs in for him but he wants to come here, so that's another feather in our cap."
The Wales international is looking for regular football and Wanderers boss McCarthy added: "A deal has been done and he will be going out on loan."