Liverpool are closing in on a deal for AZ Alkmaar midfielder Rasmus Elm.

The People says former Reds football chief Damien Comolli sent top scout Steve Hitchen to watch highly-rated Elm in action for AZ Alkmaar against Twente in a top-of-the-table Dutch league clash last week - 24 hours before he was sacked.

Elm is on the Reds' radar to bring fresh legs and energy to their midfield and is available for £7million in the summer, with his contract just one year from running out.

Ironically, tall redhead Elm was due to sign for Dalglish's rivals Everton a couple of years ago but chose to go to Holland Elm instead, despite flying to Merseyside for talks.