The former Moroka Swallows and Under-23 national team player has been training on his own at Chloorkop after he was told that he is not on coach Johan Neeskens' plans for the upcoming season.
Larsen said is now up to Sundowns and the club to reach an agreement for the transfer of the player.
"I have not been in the office for a while as I'm in camp with the team but I know that they are busy negotiating," Larsen tells KickOff.com.
"We felt that we can have him in the team and he will give us more options at the back," he said.
Platinum Stars, Chippa United and Swallows are also interested in signing Mphahlele but it seems he will be heading to Bloemfontein.