Celtic boss Neil Lennon has admitted he is “disappointed” after losing out on target Ben Davies.
Davies, who is out of contract in the summer, looked set to move to Celtic Park upon the expiration of his contract at Deepdale.
However, Liverpool have pried the Barrow-born central defender out of the grasp of the Scottish champions.
The 25-year-old looks set to join the Premier League champions for £2.5 million, with the Reds forking out £500,000 up front.
Speaking to the press on Monday, Neil Lennon said: “It’s a blow because we were very close to doing that [signing him].
“But then obviously gazzumped at the last minute by Liverpool. He lives in that area.
“Obviously, I’m sure financially it would’ve been rewarding for him, I’m disappointed but we move on.“
The current Scottish champions have been underwhelming so far this season.
Liverpool legend, Steven Gerrard’s Rangers have stormed to a 23 point lead at the top of the Scottish Premiership.
The Gers overcame Celtic in a fiery Old Firm derby, just last month.
After 10 consecutive seasons at Celtic Park it looks like the league will be switching over to Gerrard’s side.
Neil Lennon’s side suffered a 2-1 defeat at home to St Mirren on Saturday to pile the pressure on the under-fire Irish manager.
There have been reports that former Reds boss and Champions League-winning manager Rafa Benitez will take over at the helm.
However, takeovers behind the scenes have frozen any talk of Lennon’s departure.
Ben Davies is currently undergoing a medical and other formalities ahead of his move to Merseyside.
The move will see young Dutchman Sepp van der Berg move to Deepdale until the end of the season as cover for Alex Neil’s side.
Van der Berg has impressed for the Under 23’s this season with one goal in nine Premier League 2 appearances.