The BBC has reported that Liverpool has offered STG15 million ($A22.35 million) for Swansea's highly rated midfielder Joe Allen.
The 22-year-old has met with Swansea chairman Huw Jenkins, with Liverpool hoping to complete the move soon.
"He's a very talented player, which everyone knows," Liverpool manager Brendan Rodgers said last month.
The former Swansea manager has a deal not to buy any of his old players in the first 12 months at Liverpool.
However, the BBC said there is a release clause "if a deal is deemed to be in the best interests of the club."
Allen competed at the London Olympics as part of the British team.