Liverpool and Southampton have agreed a fee for the transfer of Rickie Lambert, a source told ESPN FC.
Lambert, 32, is expected to undergo a medical with the Anfield club on Saturday ahead of the proposed move which is going to cost Liverpool four million pounds plus add-ons.
The striker is part of England's World Cup squad and could play a part in the friendly game against Peru at Wembley on Friday night.
He is expected to provide back-up for first-choice strikers Luis Suarez and Daniel Sturridge as Liverpool prepare for Champions League football next season on top of their domestic requirements.
Merseyside-born Lambert left Liverpool as a teenager after failing to make the grade from their academy.
"I think Rickie is a terrific player," the Liverpool manager said of Lambert last year.
"People look back now and say it was a mistake to let him go but there may have been something that was a factor.
"Rickie may not have been interested in football at the time or there may have been something else in his life. He just might not have been ready for what Liverpool was about at that time but there is absolutely no doubt within development that it cannot just be about what the player is now."
Lambert could be the first of many new arrivals at Anfield this summer with manager Brendan Rodgers also reportedly interested in his Southampton teammates Adam Lallana and Dejan Lovren.
While Press Association reports suggest that further talks will be held with Bayer Leverkusen midfielder Emre Can over the weekend in order to clarify if the Germany under-21 international is interested in a move.
Although there is a buy-out clause of about 10 million pounds which Liverpool are willing to meet, the player's wage demands are proving a significant stumbling block.
PA also report Liverpool have made a bid, reported to be in the region of 16 million pounds, for Sevilla left-back Alberto Moreno but are still in negotiations with the Europa League winners.
However, what interest the club had in Swansea goalkeeper Michel Vorm to provide competition for Simon Mignolet has cooled and they are no longer considering the Dutchman as a viable target.
Information from the Press Association was used in this report.