Chelsea have agreed a deal with Southampton worth up to £58 million ($73.7m) for midfielder Romeo Lavia,
The Blues will pay and initial £53 million with a further £5m in performance-related add-ons.
Personal terms are not expected to be an issue and the 19-year-old will undergo a medical later this week ahead of a move to Stamford Bridge.
Liverpool had previously had a £60m ($76.2m) offer for Lavia accepted by Southampton but the player expressed a desire to join Chelsea, allowing the Blues to negotiate a slightly lower fee.
Roméo Lavia has been targeted by both Chelsea and Liverpool after impressing in his one season for Southampton.
It is the second time in a matter of days that Liverpool have lost out on a midfielder to Chelsea after Jurgen Klopp’s side agreed a British record £111m fee with Brighton for Moisés Caicedo, only for the player to reject the proposal.
Chelsea signed Caicedo on Monday in a deal worth up to £115m ($146m).
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