Liverpool have made an £8m offer for the Uruguay international Sebastián Coates but face competition for his signature as Nacional encourage an auction for the 20-year-old defender.
Fenway Sports Group, Liverpool's owner, has met the Uruguay champions' current valuation of their 6ft 6in centre-half as they look to provide the manager, Kenny Dalglish, with his sixth summer signing.
Nacional this week granted permission to Coates's father, Peter, and agent, Matias Pittini, to discuss the terms of the transfer with Liverpool, who remain firm favourites to sign a player whose profile soared during Uruguay's triumphant Copa América campaign last month. "The offer is very good," Héctor Olmos, Nacional's vice-president, told a radio station on Tuesday. "Coates will surely go to Liverpool."
Nacional, however, are aware of interest from several Premier League teams, including Manchester City and Arsenal, as well as from clubs in Italy, Ukraine and throughout South America, and are attempting to hold out for the highest bidder.
Coates was valued at €3.5m (£3.06m) when talks were held over a proposed move to Porto before the Copa América and Nacional hope City will top Liverpool's bid in the coming days.
Roberto Mancini, the City manager, has claimed he wants one more signing to follow the impending arrival of Samir Nasri at the Etihad Stadium but club officials have indicated the France international will represent their final purchase in this window and the club has already acquired a central defender this summer in Stefan Savic.
Coates, who is in Montevideo and believed to be receptive to a move to the Premier League, said: "This week I will talk about offers and decide whether to go or stay here. What I need is continuity so I don't lose my place in the national team. The Premier League?
"Do not discard any hypothesis. But the president knows what my family and I want. The market is open until 31 August and I won't stop waiting. Certain leagues have already commenced and to go and play at a club that has already started could be a disadvantage."
Does that last line means he's actually more in favour of a move to La Ligue or Serie A?