Liverpool have agreed a £12m fee with Sevilla for left-back Alberto Moreno.
The 22-year-old Spain international was withdrawn from Tuesday's Uefa Super Cup defeat by Real Madrid and is expected on Merseyside for a medical later in the week.
Martin Kelly is now expected to leave Anfield to join Crystal Palace.
The England international, 24, will have a medical with the Eagles in the next 24 hours after the clubs agreed an initial fee of £1.5m, rising to £2m.
Liverpool confirmed that they had reached an agreement with Sevilla for Moreno and expect to complete the deal in the next few days.
Moreno was in tears at the end of Tuesday's defeat by Real Madrid in Cardiff as he said goodbye to the Sevilla supporters, staff and team-mates.
After the match, Sevilla boss Unai Emery said: "This has been in the offing for a month and a half.
"We are in England and close to teams that are interested in Alberto. We want to wish him all the best. Now we will have to look for another player to come in who is able to give big performances."
Moreno will become Liverpool's eighth signing this summer, and will vie with Jose Enrique to become Brendan Rodgers' first choice on the left of defence.
Fellow Spaniard Enrique, 28, made just nine appearances at the start of last season before knee surgery in November put a premature end to his campaign, with Glen Johnson and Jon Flanagan deputising in the left-back position.
Liverpool have also bought Southampton trio Rickie Lambert,Adam Lallana and Dejan Lovren, Benfica's Lazar Markovic and Bayer Leverkusen's Emre Can, while right-back Javier Manquillo has joined on a two-season loan from Atletico Madrid.
The Merseysiders also signed Belgium striker Divock Origi from Lille for £10m, but have allowed the 19-year-old to return to the Ligue 1 side on loan for a season.