The Argentine flyer is one of the most sought after players around, with Manchester United, Chelsea, Barcelona, Atletico Madrid and Monaco all known to be interested in him.
But reports in France say Liverpool are hoping to win the race for the player after opening negotiations with Benfica on Thursday.
Gaitan has a release clause set at £35.6million and while the Reds have the cash in the bank to meet that clause, they believe they can get him cheaper.
RMC says the 26-year-old agreed terms to join Monaco earlier this week but a fee couldn’t be agreed with Benfica – and Liverpool have swooped in.
Any deal for the player would likely be around the £30million mark, but Reds manager Brendan Rodgers has made it clear that he’s ready to spend big for the right player.
A quick and agile winger who can play on either flank, he was named in the Europa League Team of the Year last term because of his stunning performances.
Written by Steve Milne
