This story has been reproduced from today's media. It does not necessarily represent the position of Liverpool Football Club.
Liverpool are in talks over a permanent move for AC Milan striker Mario Balotelli after a loan deal failed to come to fruition.
Reports suggest that Balotelli's agent Mino Raiola flew into England yesterday to negotiate a move despite Brendan Rodgers previously denying the Italian international could move to Anfield this summer.
But after coming up short in their efforts to sign Radamel Falcao and Edinson Cavani - not to mention Wilfried Bony and Loic Remy - the Reds have performed a dramatic U-turn.
AC Milan CEO Adriano Galliani yesterday denied the Serie A club had received an offer from Liverpool for Balotelli, saying: "At the moment no offer has arrived from Liverpool for Balotelli so there are no negotiations.. the [transfer] window closes on September 1 so we'll see."
But it is thought that there have been major developments in the last 12 hours with negotiations ongoing.One suggestion is that Milan were not interested in a loan deal that included a 'good behaviour clause' that would allow Liverpool to send Balotelli back to Italy if he didn't toe the line under Rodgers.
But Milan are willing to sanction a permanent move and talks are ongoing.
Earlier this summer Milan president Silvio Berlusconi suggested that he had a £28m bid from an English team for Balotelli, but that a poor World Cup performance saw the player's value drop.
Yesterday, it was suggested that Liverpool were preparing a £17.5m bid but it remains to be seen whether that fee would actually be enough for Milan to sell before the end of the transfer window.