Liverpool are willing to take a financial hit in offloading Lazar Markovic.
It had been hoped that the Serbia international would command a fee close to his original 2014 outlay of £20 million after struggling to adapt to life at Anfield.
Loan spells with Fenerbahce and Sporting Lisbon followed before he enjoyed a brief renaissance at Hull City as they were relegated from the Premier League.
Marco Silva is keen on a reunion with Markovic, having worked with the player when the Tigers failed in their battle for top flight survival last season.
The new Watford manager is hopeful of securing the 23-year-old’s services as he prepares to usher in a new era at Vicarage Road.
Fenerbahce also retain an interest in signing Markovic, with Liverpool’s valuation becoming significantly lowered from that original £20m asking price.
Offers of £12m and above are expected to be accepted as Jurgen Klopp looks to trim deadwood from his squad before the new Premier League campaign.
Should Watford win the race for Markovic, he could make a competitive debut against his former club when they kick off the 2017/18 season on August 12.