The Bavarians have long been linked with a move for a striker, and as negotiations with the Manchester City man have ground to a halt, they are now targeting the Croatian
Die Roten have lost Ivica Olic to the Volkswagen Arena outfit this summer, and although they have snapped up Claudio Pizarro on a free transfer, the club are eager to bolster their attacking options ahead of next season.
Bayern had been linked with a move for Manchester City striker Edin Dzeko, but Goal.com understands that negotiations over the Bosnia and Herzegovina international's signature have died down due to the Premier League champions demanding a €30 million fee for his services.
That led Bayern to Mandzukic, who was in impressive during Croatia's Euro 2012 campaign, even though his three goals were unable to prevent a group stage exit for his side.
Reports in Kicker and Bild state that the 26-year-old has already agreed terms with the 2012 Champions League finalists, and the two clubs are negotiating a fee in the region of €12-15m.
Mandzukic, who joined Wolfsburg from Dinamo Zagreb in 2010, scored 12 goals in 32 Bundesliga appearances last season.