The French fashion house is said to be finalising its contract with the 43-year-old Belgian designer for him to replace John Galliano.
According to WWD, The Deal is yet to be agreed as they are still discussing of his start date and the finer details of his contract with Jil Sander - of which he is the currently helmer.
In September, Dior claimed they would announce the name of Galliano's successor imminently.
Bill Gaytten, acting head of design for the label, explained The Fashion house has experienced a "tough period" since the former creative director was sacked earlier this year after being accused of racism and anti-Semitism.
He said: "It's been a tough period, but what can I say?
"My lips are sealed, but all will be revealed."
A source close to LVMH, the parent company of Dior, explained: "For Dior, it's a pretty tricky situation, as the three frontrunners really can't take the job.
"Haider Ackermann is said to be 'way too edgy' for Dior; Marc Jacobs wanted the job a lot, but LVMH wants him to stick with Vuitton; and Riccardo Tisci simply refused, saying that he was feeling more than comfortable with the job at Givenchy. So nobody's taking over so far."