Jurgen Klopp’s Premier League champions are in talks with the Champions League winners after being heavily linked with the Spain playmaker.

It is understood Liverpool would pay an initial fee of £20 million for the player, who has one year remaining on his contract at Bayern, with more to follow in add-ons.

Thiago, 29, was missing from Bayern Munich’s training session on Thursday, according to reports in Germany.

The Spain international joined Bayern from Barcelona in 2013 and played in last season’s Champions League final victory over Paris St Germain.

It had been reported a potential move for Thiago was being held up by uncertainty over the future of Liverpool midfielder Georginio Wijnaldum.

The Dutchman, who is in the final year of his contract at Anfield, has been linked with Barcelona.

Liverpool, however, have decided to make their move for Thiago now.

He would be Liverpool’s second signing of the summer transfer window and a more significant acquisition than that of Greece left-back Kostas Tsimikas, who was bought to provide cover for Andy Robertson.