Chamberlain Deal to Liverpool, Coutinho Still Barca Target

LIVERPOOL - The Reds rumored have agreed a £40m deal to sign Arsenal and England midfielder Alex Oxlade-Chamberlain. The 24 year old rejected a move to Chelsea on Tuesday after a fee had been agreed.

Oxlade-Chamberlain has started each of Arsenal's four games so far this season despite telling manager Arsene Wenger he would not sign a new contract. He has made 198 appearances for Arsenal since joining them from Southampton in August 2011.

The fee would have been Liverpool's club record deal, but the Reds have agreed to sign RB Leipzig's Naby Keita next summer for £48m.

Meanwhile, Liverpool midfielder Philippe Coutinho remains Barcelona's number one target but the Spanish club are also weighing up a move for Monaco's Thomas Lemar. The Spanish giants have had three bids for 25-year-old Coutinho turned down, the latest in the region of £114m.

Lemar, 21, is also a target for the Reds, who are preparing a £60m bid for the French midfielder. Barcelona are also interested in Juventus forward Paulo Dybala, 23, who helped Juve win Serie A last season.

The English transfer window shuts at 23:00 BST on Thursday, 31 August with the Spanish deadline for buying players 24 hours later.