NEWS NEWS BLOG SPORT brings you the latest transfer news from Anfield
Liverpool look set to let misfiring striker Mario Balotelli return to AC Milan on loan.
The Mail on Sunday are reporting that Balotelli flew to Verona from Manchester airport on Saturday Morning to meet up with Milan coach Sinisa Mihajlovic and his assistant Nenad Sakic in Prato, near Florence, where Milan take on Fiorentina this afternoon.
Mihajlovic knows Balotelli well, having worked with the forward while he was Roberto Mancini's assistant coach at Inter Milan.
Balotelli only joined the Reds from the Italian giants a year ago for £16 million, but endured a disastrous first campaign on the red side of Merseyside, scoring only one Premier League goal as the Reds finished sixth.
Despite his poor record last term, Milan are hoping he can reproduce the good form he showed during his previous stint at the San Siro.
Milan are not the only Serie A side who have shown an interest in Balotelli, with Sampdoria and Lazio both pursing a similar deal for the Italian.
Balotelli has fallen down the pecking order at Anfield this season, and has been told he is free to find a new club or he could face spending the rest of the season in isolation.
Spanish newspaper Sport report Arsenal have rejoined the race for Real Madrid's Asier Illarramendi, despite appearing to turn down the chance to sign the midfielder.
The Spanish international looks set to leave the Bernabeu and Liverpool have been heavily linked with a move, but Arsenal will now once again compete for the signature of the player who is valued at around £8million.
Liverpool face competition for Real Betis wonderkid Dani Ceballos from Spanish giants Real Madrid, according to Spanish publication Cadena Cope.
The Reds had reportedly been leading the chase for the Spanish Under-21 international, who is valued at around £8.5 million, but Madrid are now planning to hijack the move.
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