The Uruguayan has completed a move from Atletico Madrid.
The report came from respected Italian journalist Gianluca Di Marzio on his official website. Everton and Villa are two teams who could use a boost in the transfer window, considering their poor position in the Premier League table.
Quotes at the weekend emerged from the Atletico Madrid player about his future. He told Embajadores del Gol, as translated by Inside Spanish Football that he was looking to facilitate his sale this month:
“I’m calm and waiting a possible transfer.
"I haven’t been lucky enough to, at the very least, be named a starter for several months. That’s why I’m looking to leave. I’m negotiating my own transfer and this hasn’t just come about now. It’s been coming since I almost secured a deal to England following the World Cup."
Everton and Villa are both currently in the bottom half of the Premier League table and there is little doubt the 83 times capped Uruguay international would improve the teams.
But neither will be signing him. Yesterday Parma announced on their official Twitter account that they had completed the signing, alongside the incoming Silvestre Varela, formerly of West Brom.
They even posted a picture of their new signing in his new attire.
The former PSG and Porto star had only played 63 minutes of La Liga football this season and last term he was also bit-part, featuring for just 328 minutes for Los Colchoneros.