Inter Milan have rejected a loan offer from Manchester United for midfielder Matias Vecino, according to Sky in Italy.
The two sides could not agree on the conditions of the deal for the Uruguay international, who has been capped 41 times by his country.
Vecino has made 17 appearances in all competitions for Inter this season, contributing two goals and one assist.
The 28-year-old central midfielder could act as a short-term replacement for Scott McTominay and Paul Pogba while the pair endure time on the sidelines through injury.
Inter are now in discussions over a possible exchange deal which would see Vecino sign for Napoli and Brazilian midfielder Allan head in the opposite direction and join Antonio Conte’s side.
Another of United’s transfer targets, Bruno Fernandes, may not leave Sporting Lisbon until the summer, according to his agent Jorge Mendes.
The two clubs were understood to be close to agreeing a deal, but Sporting have since increased the overall asking price to £68m.