Santos have officially abandoned their attempts to sign Robinho, citing financial difficulties, so he will remain at Milan.
“Santos FC, the player and Milan tried to get the values and conditions that would allow the transfer, but even with the effort from all sides, it was not possible to achieve the right numbers,” read a statement.
“The cost of the transfer, including payment to the Italian side and the player’s wages, is still far from the reality of Brazilian football.”
At this stage it is also likely the player will sign a contract extension, as otherwise he’ll be a free agent in June 2014.
The Brazilian club has been negotiating for his return since January, but matters came to a head this evening when they held a board meeting.
Despite Milan lowering the price-tag to €7m and Robinho accepting a cut in his wages, the financial burden of the move proved too much for Santos.
They had complained that Robinho wanted to include commissions for his father and lawyer, plus Santos hiring his personal trainer.
The striker appeared to confirm the move was off on Twitter by posting a picture of himself in the Milan locker room clutching the 2011 Italian Super Cup trophy.
"Santos decided to end the negotiations. It's over. He is staying at Milan," added Vice-President Adriano Galliani on Lancenet.
This could be considered a problem for the Rossoneri, who stated they will not sign Adem Ljajic from Fiorentina unless Robinho is sold first.