Bayern Last week, Bayern had an initial offer of £59 million turned down by the Premier League champions, but their enhanced bid is likely to bring the Colombian international to the Allianz Arena.
Diaz has reportedly received clearance to depart Liverpoolfor the pre-season tour in Asia to undergo a medical examination with Bayern.
He joined Liverpool from Porto in January 2022, winning the Premier League, FA Cup, and League Cup during his tenure at Anfield.
The 28-year-old made 50 appearances and netted 17 goals across all competitions last season as Arne Slot's team secured the English title for the first time in five years.
Diaz was omitted from Liverpool's 4-2 friendly loss to AC Milan in Hong Kong on Saturday as speculation about his future intensified.
"In Lucho's (Diaz's) case, there have been numerous rumors surrounding him lately, and I cannot elaborate on that," Slot stated after the match against Milan.
"He is training exceptionally well with us, but we have chosen not to field him at this time.
"I'm accustomed to communicating with most of my players regularly. I can't say much more on that."
The imminent signing of Diaz provides Bayern with a top-quality replacement for German forward Jamal Musiala, who will be sidelined for an extended period following a broken leg and dislocated ankle suffered at the Club World Cup this month.
Liverpool has been active in the transfer market, enhancing their attacking lineup with high-profile acquisitions of Bayer Leverkusen playmaker Florian Wirtz and Eintracht Frankfurt striker Hugo Ekitike.
Defenders Jeremie Frimpong and Milos Kerkez joined from Leverkusen and Bournemouth, respectively, while goalkeeper Giorgi Mamardashvili came from Valencia.
The Reds are also reportedly keen on making a bid for Newcastle's striker valued at £150 million Alexander Isak.
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