Albion boss Micky Adams is leaving the Seagulls to team up with his good friend Dave Bassett at Leicester City.

Bassett will today be named as the new manager of the Premiership strugglers in succession to the sacked Peter Taylor.

We can reveal he will appoint Adams as his No. 2 at Filbert Street.

Martin Perry, Albion's chief executive, said this morning: "We have had an approach from Leicester and we had no choice other than to allow Micky to speak to them.

"Discussions have been going on all last night and are due to be finalised today.

"The club's position is one of great regret, but Leicester are a Premiership club and it is a golden opportunity for Micky.

"He is one of the hottest properties in the Football League and that has made us vulnerable.

"At the end of the day we are simply not going to be able to stand in his way, although we would, of course, love to have kept hold of him."

Adams said today: "I am in discussions with Leicester. I believe terms have been agreed for my release and I am now free to talk to them. That is exactly what I am doing.

"I want this football club looked after and I refused to hold any sort of discussions until everything was agreed with Brighton, because I wanted to do it the right way.

"I will leave the club with a heavy heart. The club has been good for me and to me, but I think I have more than repaid the club and I have never wanted to leave anywhere on bad terms.

"I am devastated really, because I am more than happy here."

Adams worked under Bassett at Nottingham Forest as reserve team coach and the pair have been pals ever since.

He invited Bassett down to take the Albion squad for training before the pre-season friendly against Sheffield United.

Bassett, 57 last month, told us at the time that his next job would be his last.

Leicester, eager for managerial continuity following Taylor's brief reign, are likely to see Adams as the man to take over from Bassett once he retires.

Adams' departure is shattering news for Albion.

It comes after he received the Nationwide Second Division manager of the month award yesterday at a lunch in Hove and 48 hours after the Seagulls submitted plans to Brighton and Hove Council for a new stadium at Falmer.

The club were due to hold a Press briefing at Withdean this afternoon about their Falmer plans, but that is now expected to be put back until tomorrow.

Adams guided Fulham to promotion from the Third Division in 1996-97 and Albion to the Third Division title last season, their first silverware for 36 years.

He has carried on the good work this season.

Four wins and two draws for the Seagulls in September left them in second place in the Second Division.

They lost their first League match at Withdean since New Year's Day against Brentford last Friday but are still up with the pacesetters ahead of Saturday's trip to Huddersfield.

Adams' assistant Bob Booker is likely to be put in caretaker charge for the Huddersfield match.

Adams has made no secret in the past of his Premiership ambitions. He said in the summer he was disappointed not to get an interview for the posts at Southampton and West Ham.

He has also been mentioned in the last few weeks as a possible candidate for First Division clubs Coventry, Sheffield United and Birmingham.

Adams signed a new three-year contract in the summer, replacing a four-year deal which he was halfway through. Albion are certain to demand compensation.

Seagulls chairman Dick Knight, speaking to the our reporter prior to yesterday's manager of the month lunch, described speculation over Adams' future as "the inevitable price of success."

Knight said: "We have done a lot since Micky joined the club in April 1999 and that success inevitably attracts other clubs, so it doesn't surprise me.

"It's a logical outcome in football today of clubs chasing success and when they see a manager that has achieved a good, steady performance in difficult circumstances that is a strong accolade for another club to be interested in.

"I extended Micky's contract in the summer because he and I work extremely well together, but I am also a realist.

"Brighton cannot compete today with Premier League clubs. We have just put a planning application in for a new stadium at Falmer which is all about taking the club forward and one day we will be able to compete."