Paris Saint-Germain are reportedly preparing to battle Liverpool for the signature of Bayern Munich midfielder Thiago Alcantara ahead of the 2020-21 campaign.

The 29-year-old will see his contract at the Allianz Arena expire next summer, and Bayern chairman Karl-Heinz Rummenigge recently confirmed that the Spaniard wants to leave the club in the upcoming market.

Liverpool have been strongly linked with the experienced midfielder, who has won seven Bundesliga titles during his time with Der FCB.

However, according to Le 10 Sport, PSG are also in the hunt, with the French champions preparing a £27m offer as they attempt to beat Jurgen Klopp's side to a deal.

Thiago has again been a key player for his German club during the current season, scoring three times and providing two assists in 36 appearances in all competitions.

Manchester United have also recently been credited with an interest in his services.