The details are outlined in a report from Marca, which claims that a personal agreement between Moreno and Espanyol has been in place for some time.
What has held up a deal is that his release clause at Mallorca stood at €1m while the Catalan club were only willing to pay half that amount, but now a compromise appears to have been reached.
Both clubs have suffered relegation this season and are preparing for life in the Segunda next season, while Moreno’s current deal at Mallorca had a further two years left to run.
Sporting director Rufete had been Espanyol’s fourth coach of the season on an interim basis, after David Gallego, Pablo Machin and Abelardo Fernandez had all been sacked.
Moreno is said to be valued by the Catalan club because he is familiar with the second tier, having guided Mallorca to promotion via the playoffs last season.
He has been in place as Mallorca boss since 2017, guiding them from the third tier of Spanish football back to the top tier but was unable to prevent their demotion this year.