But he insists that he wants to stay at Liverpool.
"My preference is to stay at Liverpool and I am still hoping to do so," he said.
"There has been a lot of speculation about my future but I have always maintained my position of wanting to stay at the club.
"I am happy to compete for my place and hope I am given the chance to do so."
Pennant played in the 2007 Champions League final defeat by AC Milan in Athens but has been sidelined by manager Rafael Benitez this season.
His last appearance for the first team was at the end of October.
Portsmouth manager Tony Adams wants to make Pennant, a former Arsenal team-mate, his first signing since taking over at Fratton Park.
Adams said: "Jermaine is a player I have been tracking because he is not getting regular first-team football.
"I realised he wasn't in the team at Liverpool, he was a bit-part player, and I said to (executive chairman) Peter Storrie we might be able to give him a platform to play football.
"We have had a bid accepted by Liverpool and we want to get him down here ASAP."