LIVERPOOL are ready to take a £7m loss on El Hadji Diouf.
Spanish side Malaga have enquired about the Senegalese international and even though they are prepared to offer only £3m, the Reds are likely to accept.
The man dubbed 'Serial Killer' cost Liverpool £10m in the summer of 2002.
But since arriving from Lens he scored just six goals in 80 appearances, while an attempted reinvention as a right-winger also failed.
Diouf (pictured) has lost his number nine shirt to new signing Djibril Cisse, and his miserable spell on Merseyside may also soon come to an end.
A report this morning, meanwhile, suggested Liverpool could be poised to hijack Spurs' move for Dutch midfield star Edgar Davids.
Source: Echo / www.liverpoolfc.tv
No-one at Anfield was available for comment, although Davids is reported as saying: "I've received two very interesting offers from England and will announce a decision in the next few days.
"I've been linked with a move to England for a long time and maybe it's the right time now."
Davids is a free agent after his contract with Juventus ran out, and the 31-year-old's £30,000 a week wages are not prohibitive.
This story has been reproduced from today's media and is not necessarily the position of Liverpool FC.