Liverpool and Aston Villa agreed a fee that will rise to £20million for the England international on Wednesday night and once the formalities of a physical check-up are passed and terms agreed, Downing will follow Jordan Henderson and Charlie Adam into Anfield.
Dalglish has been tracking Downing - who arrived at Liverpool on Thursday morning - for months and while he did not over elaborate on what the 26-year-old will bring to Liverpool, he is anticipating the transfer to be ratified at some point in the next 24 hours.
On his way: Stewart Downing arrives at Melwood for his medical
'We have had permission to speak to him and he is coming up for talks,' said Dalglish, shortly after arriving in Kuala Lumpur.
'Now we have to agree terms and he is having a medical – hopefully it will be successful. We will have to see what happens because it is a work in progress. We will keep you informed.'
Though Arsenal made a late attempt to woo Downing, the former Middlesbrough winger has had his heart set on joining Liverpool all summer. The wheels have been in motion ever since Liverpool had a £15m offer for him rebuffed seven days ago.
Closing in: Dalglish hopes to conclude the Downing deal imminently
'This is the first year for many years that we are not in Europe,' he said. 'That might give us an advantage or it might not. We will have to wait and see.
'The determination is the same as it is here every year. Everybody wants to do their very best for the football club and everyone who plays will give their best. That is all we can do.
'It is a great honour to be manager of this club. It is definitely more an honour than a burden. We have to manage expectations and the supporters have to manage expectations. They know they will get total commitment to the football club.'
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