Liverpool Transfer News: Latest Buzz on Sebastian Coates, Joe Cole and More

Liverpool defeated Exeter City (3-1) in the Second Round of the Carling Cup and now manager Kenny Dalglish can return his focus to the transfer market. With one week left until the summer window closes, Dalglish has at least one deal to finalize and a couple more to consider.

The most pressing issue for the Reds is completing the deal for Nacional defender Sebastian Coates. Liverpool has presented an offer in the £8 million range and that should be good enough to complete the move, according to ESPNsoccernet.

At just 20 years old, Coates still has a lot of growing to do, but the potential is obvious. He is already 6'5'' and another inch or two is possible before he finishes growing. That will certainly help defending set pieces, an area of concern for the Reds heading into the season.

The Uruguayan national team member was considered one of the top defensive prospects in South America and, if the transfer is agreed upon, will now get the chance to show off his skills in England's top league. There will undoubtedly be a transition period for the young center back.

The £8 million is very fair considering the potential of Coates. Although there was some speculation that Manchester City would get involved at that price, it never came to fruition after Coates told the media he preferred a move to Liverpool.

Joe Cole has been considering several exit strategies after a dreaded stay with the Reds that hasn't worked out for either side. Cole might have finally found the lifeline he need in the form of Tottenham manager Harry Redknapp, according to the Daily Mail.

Redknapp was the manager at West Ham United while Cole was developing his game as a youth player in the system. The Spurs' boss gave a glowing report on the 29-year-old midfielder and has opened the door for a possible reunion, if the price is right.

Liverpool has no reason to hold onto Cole since Dalglish has made it clear that the England international wasn't in the team's long-term plans. It would be safe to say both sides are very unhappy with the past year and are prepared to go their separate ways.

Cole would get a chance to play with Tottenham, who are dealing with some injuries in the midfield and the possible transfer of Luka Modric to Chelsea. That opportunity to get back on the field is all Cole wants and it just isn't going to happen with Liverpool, so a transfer seems like the best move for all sides involved.

Liverpool completed a transfer of young striker Daniel Pacheco to Atletico Madrid, who then quickly flipped him to crosstown rival Rayo Vallecano, according to Goal's Craig Turnbull. While it is an interesting move, it serves the purpose of getting Pacheco playing time.

The 20-year-old Spaniard has always had the pace to become a solid goal scorer, but hasn't had enough playing time to reach his potential. He will likely see significant playing time with Rayo Vallecano and Liverpool is hoping he can return a more mature, developed player.

Pacheco has played for Spain's junior national teams since the U16 level, scoring nine goals in 42 games. He spent four years of his youth career with Barcelona before moving to Liverpool's system and will now try to put it all together back in Spain.

Mirror Football is reporting that Craig Bellamy could still return to the Reds; however, it would only happen if Manchester City allows him to move for free. Bellamy is already making £80,000-a-week and Liverpool aren't willing to pay a transfer fee on top of that.

City manager Roberto Mancini will not feature Bellamy in any of his squads and has allowed the 32-year-old veteran to search for a new home. It is unclear whether Mancini will allow Bellamy to move to a competitor for free, though.

The Welsh striker spent last season on loan with Cardiff City and scored 11 goals in 35 games while adding 10 assists. It seems like Bellamy is keen on staying in the Premiership this season and Liverpool is the only known suitor.

Alberto Aquilani could be one of several players who could be on the way out of Anfield over the next week. Aquilani has chosen AC Milan as his preferred destination, according to Mirror Football, and his agent said to two sides are working out the details.

Aquilani has long been told he would become a big part of the Liverpool roster, but it just hasn't worked out. The 27-year-old midfielder has yet to play a game with the Reds this season as the transfer speculation continues to heat up.

The biggest problem for Aquilani, and possibly the main reason his time with the Reds hasn't been as productive as the two sides hoped, is injuries. That said, he did start 31 games for Juventus last season after starting just 26 the previous two season combined.

With just one week until the summer transfer window closes the other names to keep an eye on are Christian Poulsen and David N’Gog, who are looking to move out of Anfield according to Caught Offside. Neither player were going to be prominently featured in Dalglish's plans, anyway.