Liverpool close in on Kewell

Liverpool hope to snap up Harry Kewell if the Australian star fails to agree new terms with Leeds before the end of the week.

The Australian star returns from holiday this week to decide whether to remain with Leeds and Liverpool are now the front-runners in the race for his signature.

"Certainly Liverpool are an option, as are Arsenal. But Harry has not signed for anybody yet," Kewell's agent Bernie Mandic told the Liverpool website.

"He has not yet received a final offer from Leeds and until then he won't make a final determination on where his future lies.

Liverpool joined the race for Kewell after failing in their attempt to sign Blackburn Rovers' Irish international winger Damien Duff.

The London Evening Standard reported Monday that Arsenal manager Arsene Wenger would be unable to raise the seven million pounds (11.6 million dollars) Leeds want for Kewell.

Wenger had hoped to tempt Leeds with four million pounds (6.6 million dollars) plus England Under-21 star Jermaine Pennant but Pennant, 20, has told Wenger he wants to stay and fight for a first-team place at Highbury.

The 16-goal Aussie has rejected Leeds' offer of a new four-year deal worth 48,000 pounds (80,000 dollars) a week, which Leeds said on their website were the best-ever terms offered a player at Elland Road.

Spanish giants Barcelona are now out of the running for Kewell.