The 26-year old is out of favour at the German club and could be shown the door. He only joined the side from Juventus for €15.5 million last summer but has had several high-profile fallings out with manager Felix Magath. He was fined earlier in the season when he missed a penalty he was not instructed to take whilst, more recently, he was fined €500,000 for failing to turn up for the final match of the season having been told he would be on the bench.
Despite winning 33 caps for Brazil, the midfielder has had a rollercoaster career. He was originally brought to Europe by Porto as a replacement for the Barcelona-bound Deco in 2004 before moving to Werder Bremen in 2006. After 52 goals in 128 games he moved to Juventus in a €24.5 million deal on a five year but his spell in Italy was unsuccessful and he returned to Germany after only a year.
Diego would be available for less than Wolfsburg paid last summer and now it seems Liverpool and Villa could make a move for the playmaker as they look to rebuild for next season’s Premier League.