Ronaldinho is in Brazil for negotiations with several clubs, but Gremio “remain optimistic” they'll sign the Milan man.
His contract expires at the end of the season, but the Rossoneri have set an €8m price-tag to release him in January.
Gremio would struggle to pay that sum, so Flamengo and Palmeiras are back in the race to sign Ronaldinho.
“Nothing has been decided over Ronaldinho's future, but we remain optimistic,” Gremio Vice-President Antonio Vicente Martins declared.
“I will not comment on certain speculation, but I can say agent Roberto De Assis is not sparking any bidding war. As far as we are concerned, the negotiations continue as normal.”
The player left Milan's Dubai training camp this weekend so he could participate in the talks in Brazil.
Think you know your Italian football? Share your knowledge, tips and comments to win cash prizes in OLBG's tipster competition - £11,000 to be won monthly!