The 20-year-old had a successful trial with the Scottish champions earlier this month.
Celtic are now expected to sign the young centre-forward for around £120,000.
Fram chairman Sverrir Einarsson told STV: "We have received an offer. We responded to Celtic last night and we are waiting to hear again from them.
"I think we are hoping it will happen. It would good for him, Celtic would be a very good club for him."
The Icelandic Under-21 international scored 12 goals in 23 games for Fram last season.