The 33-year-old - who guided Porto to the domestic double and the Europa League trophies last season - would become the youngest coach in the history of the Premier League should the talks prove successful.
Chelsea, for whom Villas-Boas worked when compatriot and mentor Jose Mourinho was their manager, released a statement declaring their intentions.
"We note that the release clause of Andre Villas-Boas has been activated," a Chelsea club statement read.
"We can at this time confirm our interest in him and hope to reach agreement with him on personal terms and make a further announcement in the near future," added the club, who have been without a manager since sacking Carlo Ancelotti after they finished without a trophy last month.
Villas-Boas had informed Porto that he was breaking his contract by paying a 15-million-euro ($20.39m) departure clause.
FC Porto said in a statement that they had been "notified of the intention of coach Andre Villas-Boas to terminate his contract by activating the departure clause with immediate effect".
The club added that his contract "would be terminated after the payment of the required sum".
Earlier Portuguese news agency Lusa reported that Villas-Boas informed the club by fax of his decision.
The Blues are seeking to replace Ancelotti, who was given the boot just 12 months after guiding the west London club to an historic double of league and FA Cup titles.
Porto president Pinto da Costa admitted on Monday the club could not prevent their manager from leaving if the required financial conditions were met.
"Villas-Boas has a contract and a clause of 15 million euros," he said.
"If someone deposits 15 million euros into our account and he wants to go, we cannot do anything because it is something that is contractually specified."
Villas-Boas, who has fallen out with Mourinho though he has never explained why, became the youngest coach to win a European trophy when Porto beat fellow Portuguese side Sporting Braga in the Europa League final.
Reports suggest an annual salary worth 4.4 millions pounds ($6.74m) is on the table for Villas-Boas - whose ancestors number a baron and a count - and he could well bring Porto's Colombian star striker Radamel Falcao to Stamford Bridge with him.
Turkey coach Guus Hiddink had also been linked with a return to Chelsea, where he won the FA Cup as a caretaker manager in 2009.
Porto was unbeaten in the league last season with 27 wins in 30 matches, becoming only the second Portuguese club to finish a league season unbeaten, after Benfica in 1972-73.
- AFP
Tags: sport, football, english-premier-league, united-kingdom, england First posted June 22, 2011 06:37:00
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