By Merseyside correspondent Cam Downes

Liverpool have lost out to AC Milan in the chase to sign Sevilla striker Carlos Bacca, Football Insider sources understand.

The Serie A club have agreed on Saturday to pay the £21.3million exit clause in Bacca’s Sevilla contract to clinch the deal.

The Colombia international is understood to have agreed personal terms with Milan and will shortly sign a long-term contract with the club.

Liverpool had targeted Bacca as they eye a fourth senior striker to join Daniel Sturridge, Danny Ings and Divock Origi at Anfield next season.

The Merseysiders will listen to offers for trio Mario Balotelli, Rickie Lambert and Fabio Borini, who are all deemed surplus to requirements by manager Brendan Rodgers.

Bacca will arrive in Milan on the back of a stellar campaign in which his goals helped Sevilla clinch the Europa League and earn a place in next season’s Champions League.

He struck 28 times last season, with his 20-goal haul in La Liga bettered only by Cristiano Ronaldo (48), Messi (43), Neymar and Antoine Griezmann (both 22).

Aged 28, he is a bit of a late bloomer at club and international level. Has recently climbed out of Falcao’s shadow to lead the Colombia front line, with seven goals in 17 matches supplementing his one-in-two strike rate for Sevilla and former employers Atletico Junior of Colombia and Club Brugge of Belgium.