Liverpool are facing competition from Aston Villa for Sporting Lisbon midfielder Manuel Ugarte.
The Uruguayan has shone in the Portuguese capital and is being touted with a switch to the Premier League. Sporting have a £55m release clause inserted into his contract, with his agent Jorge Mendes looking to get Ugarte a move to the Premier League.
Liverpool are among the clubs to watch Ugarte this season after Sporting signed him to replace Joao Palhinha, who joined Fulham last summer. Unai Emery is also keen and has several players on his radar as he prepares for his first summer transfer window since arriving at Villa Park, with a defensive midfielder on his wishlist, as per the Daily Mail.
The Reds, whilst they have observed Ugarte, have other players they would rather pursue with their midfield in major need of a revamp. They opted against bringing in a marquee player to bolster that area last summer with the belief being Jude Bellingham was a long-term target.
They have since pulled out of the race to sign the Borussia Dortmund star, who is now poised to go to either Real Madrid or possibly Manchester City. The cost of the deal was cited as an issue for the Reds, who will now look to add other players with Ryan Gravenberch a key target.
The Dutchman's compatriot, Rafael van der Vaart, claims the Bayern Munich man is a better version of Bellingham, but much depends on whether the German club are willing to let him leave. They only signed him from Ajax last summer, but have since changed manager.
Gravenberch believes his future lies away from the Allianz Arena with minutes at a premium this term, but Bayern are reluctant to let him leave. A report from Tuttomercatoweb suggests the Reds are preparing a £43m bid to test their resolve.
If Liverpool cannot convince Bayern to sell up then they will have to eye other targets, of which Ugarte is one. However they have a greater interest in Premier League pair Mason Mount and Alexis Mac Allister. The former's contract at Chelsea is winding down and talks have been ongoing for months.
The Blues are set for a summer reshuffle with Mauricio Pochettino arriving, which could yet convince Mount to stay put. Brighton meanwhile are determined to keep hold of Mac Allister, their World Cup winner, after another impressive campaign. The Seagulls are poised for Europe and have shown a determination to retain their top players after keeping Moises Caicedo out of Arsenal's clutches in January.