Nesterovic's agent, Bill Duffy, wrote in an e-mail to the Associated Press on Saturday that the former Indiana Pacer has agreed in principle to a one-year, $2 million deal.
The agreement first was reported in the Toronto Star.
The 7-footer from Slovenia started 19 games for the Pacers last season and averaged 6.8 points and 3.4 rebounds while shooting 51 percent from the field. He had played in Toronto before going to Indiana.
He started 111 games in two seasons with the Raptors. The 11-year veteran has career averages of 7.0 points and 5.3 rebounds.
The Raptors already had signed former Pacers point guard Jarrett Jack.
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