According to Spanish publication Marca, Atletico are set to pay around €7m for the defender's signature, but will be forced to move him out on loan due to the club's salary cap preventing them from keeping hold of any more players.
Diego Simeone's side were alerted to the availability of the former Spain Under-21 international when he rejected the offer of a new contract with Celta Vigo, and decided the opportunity to sign Jonny for a cut price was simply too good to miss out on; despite not being able to use him for the next year due to the club's expenditure on playing staff being at its absolute limits.
Jonny will therefore travel to England on Tuesday or Wednesday this week to finalise his loan move to Wolves. The allure of playing in the Premier League, as well as under former Valencia head coach Nuno Espirito Santo, is believed by Marca to have been a big draw for the two-footed full-back.
Wolves have already been busy in the transfer market this summer as they look to build a squad that will perform in the Premier League, having stormed to the Championship title last season.
The club have already signed goalkeeper Rui Patricio after the Portuguese cancelled his contract with Sporting, as well as turning the loan of of last season's star defender Willy Boly into a permanent deal.