The Mirror reports that Ramirez is ready to join the Saints in a £12million deal from Italian side Bologna.
Liverpool and Tottenham have previously been linked with the Uruguay star.
Southampton are also reportedly set to sign Blackpool ace Phillips in a £6million deal before the transfer window closes.
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Summer 2016 is set to be a very exciting time for football fans, as this is when the long awaited Euro 2016 tournament kicks off.
Since Guus Hiddink arrived at the helm, Chelsea have improved considerably after a tricky start to the campaign.