Twala started an assessment last week at the Chilli Boys along with ex-Orlando Pirates attacker Sifiso Myeni.
Twala was released by Free State Stars in the new year, while Myeni has been without a club since leaving Bidvest Wits at the end of 2017/18.
Asked for an update on the duo, Larsen said: "Yes, the decision on Twala might be taken soon.
"But as for Myeni, he has gone back home to sort out some personal stuff.
"He is expected to return back again."
Relegation-threatened Chippa recently recruited Gladwin Shitolo and Phetso Maphanga on loan from Pirates, as well as fellow defenders Bangaly Keita and Donashano Malama.
Besides replacing coach Joel Masutha with Larsen, United have also parted ways with players Jabulani Shongwe, Thabo Nthethe, Miguel Timm, Thami Sangweni, Nkosinathi Mthiyane and Zaphaniah Mbokoma.