Newcastle United are on the verge of signing Brett Emerton, according to newspaper reports.
Although a fan, Gerard Houllier is unwilling to pay over the odds for Emerton and with Babbel on course for a full return next season, this could have convinced the Liverpool manager to pull out of the race to sign him.
Emerton, who can play anywhere on the right-hand side of the park, is available for around £8million.
Newcastle are refusing to comment about the situation but don't rule Liverpool out until you see Emerton revealed at a press-conference.