Lyon have called off negotiations for the sale of forward Nabil Fekir to Liverpool, the French club announced on Saturday.
The France international was expected to join Jurgen Klopp's side before Les Bleus left for the World Cup, but OL have now ended talks and called off the deal.
"Transfer negotiations with Liverpool and Nabil Fekir for the transfer of the captain of OL have not succeeded and Olympique Lyonnais have decided to put an end to this negotiation tonight at 8pm," OL said in a statement on their official website.
The 24-year-old was being courted by Liverpool as a replacement for Philippe Coutinho, who joined Barcelona in January.
There were doubts as to whether the playmaker would pass a medical with the Premier League side due to a knee injury.
However, that is now irrelevant, with Lyon calling the deal off.
France Football Association president Noel Le Graet had suggested the move was almost completed - according to reports in France - before Lyon's announcement.
The club's statement continued: "Although Liverpool have been the priority of a possible transfer for Nabil...Olympique Lyonnais is delighted to be able to count on the presence of our captain, who is a leading player for the 2018/19 season when the club will play in the Champions League."