The Reds are in dire need of solutions at centre-back following long-term injuries to Virgil van Dijk and Joe Gomez - exacerbated further by injuries sustained by Joel Matip and Fabinho in the past ten days.
While skipper Jordan Henderson and inexperienced defender Nathaniel Phillips have both impressed at the back in the Reds' last two outings, it's evident the Reds have no room for manoeuvre at the back
Local journalists have confirmed Davies is all but a Liverpool player, whilst renowned journalist Fabrizio Romano has claimed a deal is "done."
The Reds aren't finished there, however, with a loan deal for Schalke defender Kabak also set to go through on Monday.
Liverpool, who also had an interest in Braga's David Carmo and Marseille centre-back Duje Caleta-Car, are said to have agreed personal terms with Kabak and his representatives while an agreement has also been reached with Schalke.
Kabak could join the club until the end of the season, with the Reds having an option - not obligation - to buy him permanently in the summer for €30m. The Turkish centre-back underwent a successful medical in Germany earlier today.
Romano tweeted the following update on Monday afternoon as he confirmed Schalke and Liverpool have reached an agreement.
Ozan Kabak from Schalke to Liverpool, here we go! #LFC
Agreement reached between clubs after medicals and personal terms completed. The deal will be on loan with buy option and NO obligation, €30m as potential final fee. 5-years contract [if they will buy him].
Whilst things could change in the next few hours, it appears Kabak will be a Liverpool player alongside Davies as the Reds head into the final months of their title defence.