New Anfield manager Roy Hodgson confessed earlier in August that he had unsuccessfully attempted to prise the veteran centre-back out of the remaining one year of his contract in Germany.
Hyypia left Liverpool at the end of the 2008/09 season when former boss Rafa Benitez decided not to offer the ex-Finland defender a new deal after 10 years on Merseyside.
But Holzhauser has confirmed that Hyypia was keen to return to England, having worked with summer appointment Hodgson at international level.
Open discussion
Holzhauser told the Express newspaper: "Sami came to us asking if there would be any chance to return to Liverpool.
"We had an open discussion. Sami accepted straight away that we were desperate to keep him here.
"He is too important for us and a valuable part of our first-team squad. We could easily imagine keeping Sami at our club for more than the remaining year of his contract.
"He may add another season on the pitch and we are also considering adding him to our backroom staff afterwards, if he wants."
According to reports, Hodgson wanted to offer Hyypia a four-year contract that would see the 36-year-old play until June 2011 before moving into a role as assistant manager.
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