Luis Diaz transfer twist as Liverpool 'could strike £65m agreement' to sell winger

Liverpool and Bayern Munich are reportedly both optimistic that an agreement will be reached for Luis Diaz to move between the clubs this summer. The Bundesliga champions had a bid worth £58.5million rejected last week, but are expected to return with an offer closer to the Reds' valuation.

Liverpool need sales to continue spending, which is set to near the £300m mark once Hugo Ekitike signs on the dotted line. He is expected to finalise a £79m transfer this week, joining Florian Wirtz, Jeremie Frimpong, and Milos Kerkez on Merseyside.

More incomings are earmarked, especially if Diaz and Darwin Nunez head out the door. Progress has stalled regarding the Uruguayan forward's exit, with Napoli deciding to sign Udinese's Lorenzo Lucca on loan instead. Saudi Pro League interest does remain, with Liverpool valuing Nunez at £70m.

But Diaz could depart for a slightly smaller figure of £65m even though it has been claimed the Reds want £85m.

German outlet Bild claim that Bayern and Liverpool are confident that they can reach an agreement to take Diaz to the Bundesliga.

This weekend, Bayern learned that Liverpool are ready to talk further in a twist of fate, despite shutting down their initial offer. Vincent Kompany's side are now prepared to pay £65m for his services.

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Various reports have suggested that Diaz wants to leave Anfield, initially preferring a switch to Barcelona, before they opted for Marcus Rashford on loan instead.

The Colombian international has two years left on his contract at Liverpool who have tried, unsuccessfully, to extend his contract, and his value will never be higher than this summer if he continues to snub offers of a new deal.

Bayern are seeking offensive reinforcements and hope to add both Diaz and Stuttgart's Nick Woltemade following the departure of Leroy Sane and a long-term injury to Jamal Musiala.

Meanwhile, former Liverpool and Bayern midfielder Didi Hamann pleaded with Bayern chiefs to snub Diaz, urging them to sign Brighton talent Brajan Gruda instead.

He told Sky Sports Germany: "To now bring in Luis Diaz, a 28-year-old South American who played 50 games per season for four or five years and has those long flights home - which are also a problem - to pay 70 or 80 million for that, while the sale value is zero because he would be 32 at the end of his contract, I wonder what they even have the campus [academy] for?

"I would get Gruda. For me, he's one of the best German players. He was injured for a long time, but played very well towards the end of the season. Gruda can play on the outside and in the middle. He would be my first option."