English Premier League club Liverpool has agreed a fee with Sunderland for its England midfielder Jordan Henderson in a deal which British media reported would cost the Merseysiders up to 20 million pounds (US$32.79 million).

"A fee has been agreed with Liverpool for Jordan Henderson and he travels to Anfield today with the club's blessing," a Sunderland club spokesman was quoted on its website.

The 20-year-old midfielder, capped once by England in its 1-2 friendly defeat by France last November, looks set to be the first major signing by Liverpool manager Kenny Dalglish since the Scot agreed a three-year contract last month.

Henderson has enjoyed a breakthrough season with Sunderland with a number of strong displays in the center of midfield leading to his England debut and he is considered one of the country's best prospects.

If he signs, he will compete with Steven Gerrard, Lucas Leiva, Raul Meireles, Jay Spearing, Christian Poulsen and Jonjo Shelvey for a place in the center of Liverpool's midfield.

Should the deal be completed, it will be Liverpool's second expensive acquisition from the northeast of England this year following the purchase of striker Andy Carroll from Newcastle United in January.

Henderson will join up with the England under-21 squad later ahead of the European Championships in Denmark.

Meanwhile, Germany goalkeeper Manuel Neuer has signed his five-year contract with Bayern Munich.

Bayern says the deal was completed after Neuer passed a medical. Neuer, 25, arrived in Munich early yesterday after playing for Germany in Azerbaijan. Germany won the European Championship qualifier 3-1.

Neuer's transfer from Schalke to Bayern was announced last week.