Liverpool has jumped into the Thiago Alcantara sweepstakes with a hefty bid for his services, according to Tobi Altschaffl of BILD.

The Reds had been highly interested in the veteran midfielder for a few weeks and this marks the crucial time in which they've put their money where their mouth is. Thiago is valued at £30 million ($39.2 million) and The Reds are prepared to meet that price if it comes to it.

Thiago Alcantara is looking for a new challenge after Bayern Munich has won the league for eight straight seasons, experiencing the last seven with the club.

Liverpool is at a crossroads with Georginio Wijnaldum's future, as it's looking rather uncertain amid stalling contract talks. Liverpool boss Jurgen Klopp believes Thiago could be a sound addition to the club, ready to make a bid for the veteran midfield player before this escalates into a bid war.

Premier League rivals Manchester City have also latched on to the race, according to Mirror. Manchester City is reportedly willing to offer a substantial sum that could top Liverpool's.

Pep Guardiola, who was Bayern Munich's manager during Thiago Alcantara's first stint with the German powerhouse, is convinced the talented midfielder can be a huge success in the Premier League and envisions him as an ideal replacement for David Silva, who will soon leave the club..

“No doubt about it,” said Guardiola when asked about if Thiago would thrive in the Premier League. “A player who plays for Barcelona and Bayern Munich can play in the Premier League. Of course he can play. He’s an exceptional player, but I don’t know what he’s going to do.”

Bayern Munich has adamantly said they are under no pressure to sell Thiago Alcantara, as the 29-year-old still has a year left on his contract.