Craig Bellamy could be a Liverpool player again by early next week with Manchester City happy for the 32-year-old striker to leave on a free transfer.
Bellamy, however, could still hold out for a compensation package from the Blues – thought to be around £4million for the one year remaining on his contract – after being told by Roberto Mancini he has no place at the club.
Bellamy spent last season out on loan at boyhood club and Championship side Cardiff City, but his grit and passion has attracted Kenny Dalglish to bring the Welsh international back to Anfield.
Liverpool are thought to be offering Bellamy a lucrative short-term deal to come back to Anfield as cover for strikers Andy Carroll and Luis Suarez, with David Ngog heading for the exit.
Bellamy spent one year at Liverpool, scoring 7 goals in 27 league appearances before signing for West Ham.
Bellamy scored 11 goals in 35 league appearances for Cardiff last season.