Sky Sports reporter reveals European giants set to rival Liverpool and Chelsea for Moises Caicedo

Sky Sports reporter Dharmesh Sheth has revealed a European giant has entered the race for Moises Caicedo amid interest from Liverpool and Chelsea.

Earlier on Thursday, it was reported that Liverpool made an offer worth more than Chelsea's initial £80m bid for Caicedo, with Jurgen Klopp desperate to add a new midfielder to his ranks.

Matt Law of the Daily Telegraph shared the news, tweeting: "Understand Liverpool have outbid Chelsea for Moises Caicedo which would also help explain Chelsea’s bid for Lavia. Suggestion however remains that Caicedo would prefer Chelsea move."

As things stand, Brighton are refusing to budge on their £100m asking price, after the 21-year-old signed a fresh four-year deal at the Amex back in March.

Meanwhile, Sheth has dropped a fresh update on the situation, explaining that Bayern Munich are also keen on signing Caicedo this summer.

"Three clubs are interested in signing Brighton midfielder Moises Caicedo", tweeted Sheth.

"Chelsea and Liverpool & Bayern Munich exploring a deal. A resolution - one way or another - could come as soon as this weekend. As it stands, Brighton not budging on £100m."

Bayern are also on the verge of signing Tottenham Hotspur striker Harry Kane after the two clubs reached an agreement earlier on Thursday worth a reported £86.4million. It is now up to Kane to decide whether he wants a move to the Bundesliga side.

But should he move to the Allianz Arena, Bayern are unlikely to have the financial power to compete with Chelsea and Liverpool for Caicedo's signature.

Meanwhile, former Manchester United defender Gary Neville has advised Liverpool to bite the bullet and pay up for the 21-year-old.

“They should just be going and getting Caicedo now for him and saying ‘there you go, that’s dealt with and sorted, it’s £100m’, but they’re not, they’re trying to pinch somebody off Southampton for £40million," Neville said on The Overlap.

“He’s a good player, don’t get me wrong, but Jurgen Klopp needs the real deal.

“They can’t do it [challenge Manchester City] with a player that’s got potential, they need to do it with a player that’s real.”