The 23-year-old's representative has revealed the Rossoneri have given the green light to the Brazil international's departure, with the final details now being resolved
The Brazil international has long been linked with a move back to his homeland, after his career in Italy stalled following a series of injury problems.
The 23-year-old's representative, Gilmar Veloz, confirmed on Wednesday that a deal with Corinthians was close to being agreed, and he has now revealed the Rossoneri have given the green light over the transfer.
He told Radio Bandeirantes: "AC Milan said "yes" to the transfer. We are defining the details, the deal will happen."
Former Internacional forward Pato, who had reportedly attracted interest from other European clubs, has been keen to secure a move back to Brazil for some time having failed to maintain form and fitness at San Siro.
As Goal.com exclusively revealed in December, Milan are finalising the details to launch a bid for Manchester City's Mario Balotelli, and funds from the sale of Pato will allow them to step up their pursuit of the Italy star.