The Sun reports that Bayern Munich are ready to offer a deal that could rise to £45million, including bonuses.
An insider told The Sun: “The performance exposed some weaknesses that Pep believes could be sorted out by bringing in Luiz.”
Luiz joined Chelsea from Benfica for £21million just two years ago.
Since returning to Stamford Bridge, Chelsea boss Jose Mourinho has insisted that Luiz is not for sale.
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Who of Europe’s top strikers will move to England this summer?
After a dreadful start to their Bundesliga campaign, Borussia Dortmund appear to have weathered the storm after going five matches without defeat.