Steve Bruce had hoped to bring the 31-year-old striker to Villa Park on loan until the end of the season but Eagles boss Roy Hodgson has hijacked the deal.

According to the Sunday Mirror, Palace have agreed to cover Ulloa’s £60,000-a-week wages until the end of the season and have a permanent option in the summer. 

Ulloa is free to leave the King Power Stadium after falling down the pecking order. 

He has made just six appearances in all competitions this term but a move to Selhurst Park would hand him a Premier League lifeline. 

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A new striker is top of Villa boss Steve Bruce’s transfer wish list after losing last season’s top scorer Jonathan Kodjia for the rest of the campaign. 

But Premier League strugglers Palace also need additional firepower to ensure they stay clear of the drop zone. 

Hodgson’s main striker Christian Benteke has managed just one league goal this term. 

Ulloa has 18 months left on his contract with Leicester, who signed him from Brighton in 2014. 

A return to the Seagulls has also been mooted as a potential move for Ulloa.