The 24-year-old centre-back is currently owned by QPR, but the Super Hoops opted to send him away from Loftus Road to Southampton for the season following relegation to the Championship last term.
Caulker, however, has endured a difficult spell at St Mary’s Stadium, with the most recent of his eight appearances having come way back at the start of December when Liverpool battered the Saints 6-1 in League Cup action.
Jurgen Klopp is known to be desperate to add another central defender to his ranks following injuries to all four of his first-team options – albeit Kolo Toure and Mamadou Sakho are expected to be fit to face Arsenal – and his desperation has led to talks for the towering ex-Spurs man.
Reports suggest all three clubs involved are open to the deal, and should the paper work be completed and the player able to make the journey to Merseyside on time he could even train with Liverpool TODAY as they undergo a late session ahead of the Gunners match.
Caulker is unlikely to be a starting XI regular at Anfield, and will instead offer short-term cover, albeit he may view the move as an opportunity to revive his career after slipping away from the England squad in recent years.