Blackpool have given Blackburn permission to speak to Michael Appleton about the vacant manager's position Ewood Park.
Rovers have been without a boss since they axed Henning Berg last month after just 10 games in charge.
A search by the club's global advisor, Shebby Singh, settled on Lancashire neighbours Blackpool, who only appointed Appleton two months ago.
The former Portsmouth boss is understood to have been keen to leave and missed training on Thursday morning after an intial approach from Rovers for his services was rejected.
But after meeting with Blackpool chairman Karl Oyston on Thursday afternoon, Appleton, along with coach Ashley Westwood, was given the go-ahead to speak with Blackburn chiefs.
Blackpool confirmed the development on their official website, saying: "Blackpool FC can confirm that following discussions with Blackburn Rovers and Michael Appleton, permission has been granted for the manager and Ashley Westwood to discuss personal terms with the club."
Appleton has won two and drawn seven of his 11 Championship games in charge of Blackpool, who lie 14th in the standings - six points shy of the play-offs - and are one point and one place behind Blackburn.
Blackburn's caretaker manager Gary Bowyer on Thursday expected to take charge of Friday night's televised clash with Wolves, having masterminded three consecutive wins alongside Rovers' head of youth Terry McPhillips.
It was announced last week that the duo would take charge of first-team affairs until the end of January but Bowyer fully understands the now probable changes to that arrangement.
"As we stand we expect to be taking the team at Wolves," he said.
"As far as we're aware we were told we had it until the end of January but, like I stressed last week when that announcement was made, we understand that anything can happen in that month.
"That seems to be what's happened at the moment. The club have made an approach and it's an official approach."
He added: "To be perfectly honest, it's nothing to do with me. It's a board matter. I think it would be wrong of me to comment on a manager at another football club."