The idea is to get rid of the "energy-momentum conserving" ##\delta##-distribution. To that end you first integrate over ##\vec{p}_4=-\vec{p}_f=\vec{p}_3##. This gives you (putting all the factors ##(2\pi)## and the factor 1/4 together and use ##E_{\text{CM}}=E_1+E_2##
$$\mathrm{d} \Pi_{\text{LIPS}}=\frac{1}{16 \pi^2} \delta(E_{\text{CM}}-E_3-E_4) \frac{\mathrm{d}^3 p_3}{E_3 E_4}.$$
Now you have to get rid of the energy-conserving ##\delta##-function. For this you note that
$$E_3^2=m_3^2+p_f^2, \quad E_4^2=m_4^2+p_f^2.$$
This means it's a good idea to introduce first spherical coordinates for the integration over ##\vec{p}_f##. The ##\delta## function can obviously be integrated out by the integral over ##p_f=|\vec{p}|_f##, and the final result is only to be integrated over the angles, which is denoted by the "solid angle", ##\mathrm{d} \Omega=\mathrm{d} \vartheta \mathrm{d} \varphi \sin \vartheta##, where ##\vartheta## and ##\varphi## are the usual spherical angular coordinates of ##\vec{p}_f##.
So finally end indeed up with Eq. (5.27) by using ##\mathrm{d}^3 p_f =\mathrm{d} p_f \mathrm{d} \Omega p_f^2## and then integrating over ##p_f## by substitution as explained in the next steps of the book.