Liverpool has been rebuffed in their first move for Spanish defender Jose Enrique.
However, his club, Newcastle, is resigned to losing the highly-rated full-back, after he indicated he will not sign a new contract and wants a move from St James' Park.
Reds boss Kenny Dalglish is a big admirer of Enrique, who has made a huge impression on the Premier League this season.
The Anfield outfit is thought to be prepared to offer in the region of £4million for the 25-year-old, and have made an informal approach for his services.
Newcastle are not interested in doing business at that price, and have made clear to all potential suitors they value the Spaniard in the region of £15m.
But the left-back has just one year left on his contract and is refusing to talk about a new deal. Magpies boss Alan Pardew admits the player has his sights on a move.
Speaking this week, Pardew conceded Enrique may be allowed to leave:
"There’s no point keeping a player who has set his sights on a club he has perceived is bigger," he said. "You can’t keep a player that’s unmotivated.”
The £15m asking price is clearly unrealistic given the amount of time remaining on the deal Enrique signed when he joined Newcastle from Villarreal in 2007.
Liverpool believes £4m is a fair offer, as it would allow the Magpies to recoup most of the fee they paid for the Spain Under-21 international.
Negotiations will now begin in earnest, with Pardew determined to push the fee up as high as possible.
There is a sense of anger at St James' Park, with the suspicion that Enrique has already decided on a move to Anfield.
The player will make clear over the coming weeks that he wants to further his career by moving to a club with genuine Champions League aspirations, and Liverpool clearly fit the bill.
Dalglish has had a left-back high on his list of priorities since returning to the club in January.
He has also kept a close watch on Celtic's Emilio Izaguirre and Maynor Figueroa of Wigan.
Honduras international Izaguirre is aware of the Anfield interest.
Voted player of the year in Scotland this season after a series of outstanding performances, he admitted he would be interested in a move south of the border.
“This is flattering to any player, that Liverpool shows an interest in your services. I still do not know anything - I have left everything in the hands of my agent and club officials,” he said.
Dalglish will try to pursue a deal with Newcastle over Enrique, but it is increasingly obvious he will turn to Izaguirre if the Geordies continue to be unrealistic in their valuation of the Spaniard.
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