Schalke pull out of Baros deal

Bundesliga side Schalke 04 have pulled out of a potential deal to buy Czech striker Milan Baros from Liverpool but have completed the transfer of Danish forward Soren Larsen.

Schalke coach Ralf Rangnick said on Saturday the German club and Baros had agreed personal terms.

However, the respective clubs could not agree a transfer fee and Liverpool were unwilling to loan Baros out to the Schalke.

"The club will only sell and not loan out," said sporting director Rudi Assauer.

"But it's almost impossible to agree to eight to 10 million euros. So Milan Baros will not be moving to Schalke 04."

Baros, 23, had previously said he wanted to remain at Liverpool, but manager Rafael Benitez did not select the striker for the first two qualifying rounds of the Champions League this season.

The European champions' asking price has been a sticking point. Aston Villa have reportedly had an earlier offer of seven million euros turned down.

Meanwhile, the Bundesliga runners-up have agreed a four-year contract with 23-year-old Larsen, who was presented with the prized number nine shirt when he signed the deal yesterday.

German media said his transfer cost Schalke around two million euros.

The German side, who have qualified for the group stage of the Champions League, are also interested in Greece defender Sotiris Kyrgiakos, currently on the books of Panathinaikos.