Edinson Cavani will remain at Paris Saint-Germain until his contract expires this summer, according to L'Equipe, after Atletico Madrid decided not to raise their offer for the Uruguay striker.
Chelsea have also been ruled out of the race for the 32-year-old with PSG reluctant to allow him to leave on the cheap despite having only six months left on his deal.
The Blues registered their interest in Cavani last week. However, PSG were demanding a fee of about €20million for the veteran and no interested club have been willing to part with such a sum.
Cavani was understood to be most keen on a move to Atletico and had discussed personal terms with the La Liga side.
He also held discussions with the PSG owners in an attempt to force a move but the club were unwilling to allow him to leave for anything less than the fee initially quoted.
Frank Lampard had prioritised attacking reinforcements since long before the window opened, viewing his team's lack of a cutting edge in front of goal as being overly costly in a series of games.
Chelsea have relied heavily on Tammy Abraham for goals, with Michy Batshuayi and Olivier Giroud unconvincing in back-up roles.
The club are still toying with making a firm offer for Napoli's Dries Mertens having already been told there was no chance of signing Timo Werner from RB Leipzig or Moussa Dembele from Lyon. Crystal Palace's £80million evaluation for Wilfried Zaha was considered too high.
Mertens, 33, is also out of contract in the summer but would cost about £8million if Chelsea attempt to a deal by tomorrow night.
