HITC Sport understands Newcastle United striker set for Shrewsbury loan.
A number of clubs have expressed an interest in signing Toney on loan this summer with his first-team chances set to be limited at St James' Park.
However, Shrewsbury have moved quickly to agree a deal with Newcastle for Toney as Micky Mellon looks to bolster his attacking options.
The 20-year-old joined Newcastle last summer from Northampton Town and he made four appearances in his debut season for the then Premier League club.
Toney enjoyed two loan spells at Barnsley last season scoring two goals in eight appearances for the League One side before being recalled in January by Newcastle after an injury to Papiss Cisse.
The striker suffered an ankle injury which ruled him out for three months before he returned to Barnsley for a second loan in March until the end of the season.
Newcastle boss Rafa Benitez feels Toney would be best served going out on loan to get valuable first-team experience under his belt before returning to St James' Park to challenge for a first-team spot in the future.