Hoffenheim coach Alfred Schreuder has admitted that Joelinton is leaving the club amid reports he is close to completing a move to Newcastle.
The Premier League side have been linked with the striker since the beginning of this year while RB Leipzig were also said to be interested.
The Magpies are reportedly advancing on a €40 million (£36m/$45m) move for Joelinton, 22, which would set a new record transfer fee for the club.
Hoffenheim left the Brazilian out the squad for their friendly with Jahn Regensburg on Wednesday and confirmed that he was "in concrete negotiations with a club from the Premier League".
And Schreuder has now revealed that the star is on the way out, admitting he is sad to see his side lose a key player.
"Of course it is a pity that he's leaving," he told Kicker. "It's not my decision, that's what the club does.
"It's always the same in football: when players leave, it also opens up room for other players, and of course it's a shame he's leaving, but it's also a matter of philosophy."
The attacker joined Hoffenheim from Brazilian side Sport Receife in 2015 but was loaned to Rapid Vienna for two seasons, scoring 21 times in 79 games.
He returned from Austria last summer went on to make 35 appearances for the German outfit in 2018-19, scoring 11 times and setting up a further nine as they finished 10th in the Bundesliga.
Joelinton will be Newcastle’s first signing of the summer in what has been a busy close season for the St James’ Park side.
They have already seen star attacker Ayoze Perez leave for £30m ($38m) to join Leicester City and striker Joselu depart for Spanish side Alaves, while Salomon Rondon’s loan from West Brom came to an end.
Meawnhile, Newcastle have also undergone a change in manager, seeing Steve Bruce appointed to the role this week, replacing fan favourite Rafael Benitez, who left after guiding them to 13th in the English top-flight.