The Reds are understood to have agreed a £16m fee for the Italian, who has told team-mates at AC Milan that he will be leaving.
But even though ‘Mad Mario’ looks likely to be arriving at Anfield to challenge Daniel Sturridge and Rickie Lambert, Brendan Rodgers is also still looking at Samuel Eto’o.
The Cameroonian forward is currently a free agent after being released by Chelsea and has already held talks with the Merseysiders.
A deal was not reached as the Premier League runners-up baulked at his £100,000+-per-week salary demands, but now it’s reported that they are back in the hunt.
Fresh contact has been made in the past few days, and Liverpool are keen to push a deal through.
Speculation has been boosted by Ajax’s decision to pull out of the race for the 33-year-old.