Van Gaal has just two recognised strikers at the club following the departure of Robin van Persie and Radamel Falcao.
The Colombian flop was deemed unworthy of a permanent deal after spending last season on loan in Manchester.
The news could come as a blow to Reds boss Brendan Rodgers as he was believed to be keen to tie up a deal.
But they might soften the blow with a raid on their fiercest rivals.
Javier Hernandez could be on their radar with reports in Portugal suggesting a first transfer between the two clubs in almost half a century could be in the offing.
The 27-year-old can leave United for around £8m this summer.
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