Liverpool are set to prepare a bid for out of favour Real Madrid midfielder Asier Illarramendi.

Illarramendi has only been with Los Blancos for two seasons, after joining from Real Sociedad, but is believed to have lost his place to Mateo Kovacic under new boss Rafa Benitez.

Spanish publication Marca is reporting that Benitez has told the 25-year-old that his services are not required at the club.

It is expected Brendan Rodgers will make an offer of around £15million in the coming days.