The 21-year-old has not featured in Chelsea’s opening three Premier League games this season and has been left on the bench in their last two fixtures.
Hudson-Odoi has struggled to secure a regular role in the team under Thomas Tuchel, starting just 11 matches in the Premier League last season.
The winger was blocked from leaving Chelsea by Tuchel last summer but the club have now approved his departure following interest from several clubs across Europe.
According to the Evening Standard, Chelsea have ruled out a permanent transfer but will allow Hudson-Odoi to leave on loan for the season.
It’s understood that Bayer Leverkusen are confident about completing a deal for the midfielder following extensive talks in the last few days.
Newcastle United, Southampton, Leicester City, Borussia Dortmund and Sevilla have all expressed an interest.
Elsewhere, Chelsea have had a third bid of £70 million for Wesley Fofana rejected by Leicester City.
The Foxes are understood to be holding out for a fee in excess of £80m for the centre-back.
Chelsea also remain in talks with Barcelona for Pierre-Emerick Aubameyang but have been unable to agree a fee with the Spanish club.
Aubameyang is now said to be open to joining Chelsea after initially being intent on staying at Barcelona this season.
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