A statement from the Blues read: "Chelsea Football Club has agreed terms with AS Roma for the season-long loan of Mohamed Salah.
"The winger will spend the 2015-16 campaign on loan at the Stadio Olimpico and the agreement includes an option to purchase at any point during the season."
The winger said on Roma's website: "I think everybody here has ambition and everybody wants to win the title.
"That would be good for us and very good for the fans. Everybody will do their best to make the fans happy."
United bosses are understood to be working hard to negotiate a deal much lower than £23m.
The Old Trafford giants do have plenty of funds at their disposal after selling flop winger Angel Di Maria for £44m yesterday.
But, the club are refusing to shell out the big-bucks for Pedro and are yet to table a bid.
He told TalkSport: "I always say it's their year but there is a genuine buzz around the place right now.
"I think they can challenge this year for real if they stay injury-free. Giroud alone as a striker there – you can't win the league, you need another type of striker.
"I think Giroud is doing really well - he went on to score 14 goals in 18 games, that's amazing.
"But sometimes you need a different type of striker and I think that if they can get Benzema, suddenly they are a real title contender and also in the Champions League."
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