France forward Nabil Fekir will not be joining Liverpool and will instead be staying at Lyon, the French Ligue 1 club have announced.
The two clubs had been discussing a deal for the play maker worth 60m euros (£52.75m) – 55m (£48.35m) plus a maximum of 5m (£4.4m) add-ons.
However, Lyon said on Saturday that talks about the potential transfer of their captain “had not succeeded”.
Fekir, 24, had been one of Reds boss Jurgen Klopp’s prime summer targets.
“Although Liverpool has been the priority of a possible transfer of Nabil… Olympique Lyonnais is delighted to be able to count on the presence of their captain in 2018-2019,” Lyon said in a statement.
Fekir is due to fly to Russia with France’s World Cup squad after their game against the USA on Saturday.
He came through Lyon’s youth system and has made 153 appeal