Lazar Markovic will spend the 2016-17 season on loan at Sporting CP after the Primeira Liga club agreed a deal with Liverpool.
The Serbia international returns to Portugal after making just 34 appearances for Liverpool since arriving from Benfica in 2014.
Markovic - who scored three goals during his time at Anfield - has struggled to break into the first team in the Premier League, and was sent out on loan last season with Fenerbahce.
The 22-year-old arrived at Sporting on the day that striker Islam Slimani departed for Leicester City in a deal worth an initial EUR30million.
Sporting have been quick to bolster their ranks, though, with midfielder Elias also arriving from Corinthians.
However, they will not get to play alongside Zakaria Labyad after the Dutch midfielder had his contract terminated by mutual consent.