Wood only signed for Newcastle in January 2022, leaving then-relegation rival Burnley in a £25 million ($44.5 million) move.

Although Burnley was subsequently relegated, Newcastle stayed up comfortably under Eddie Howe and a year later is well in contention for UEFA Champions League qualification.

But having started 15 of his 17 Premier League appearances for the Magpies last term, Wood's 18 outings in this campaign have included only four starts and account for a meagre 437 minutes.

Wood found himself behind the fit-again Callum Wilson and club-record signing Alexander Isak in the pecking order, with the New Zealand international having scored just four times across 35 appearances.

He will instead spend at least the rest of the season at Forest, which has recruited Wood after news of an injury to Taiwo Awoniyi as it bids to secure its Premier League status for next season.

The agreement contains "a conditional obligation to become a permanent deal", Forest confirmed, with reports suggesting the achievable criteria of those conditions will lead to a £15 million ($26.7 million) move.

Wood was no longer a starter at St James' Park, but only Jacob Murphy (36) had made more Premier League appearances for Newcastle since his arrival from Burnley, and Howe wants a replacement for the 31-year-old forward.

Ahead of the transfer, Howe said: "Hopefully, we're planning to replace him.

"Certainly, from my side, there was no thought of letting a player go and not replacing [them]. I think that would leave us dangerously short of players."

Howe acknowledged the club was now in a "difficult situation" in the transfer market but recognised Wood's departure represented "a very good deal financially".