Milan and Inter have been locked in a tug-of-war for the controversial Argentina international, with the stage set for the Scudetto holders to sign him after their rivals admitted defeat in their efforts on Thursday.
However, Italian news agency ANSA have reported that due to City’s stubbornness over the financial aspects of the deal, the Serie A champions have now walked away from negotiations.
Tevez was ready to replace Alexandre Pato at the San Siro, but the Brazilian attacker committed his future to Milan and the Italian giants are now thought to be happy to keep Pato rather than sign Tevez.
Pato had been linked with a move to Paris Saint-Germain to link up with former bosses Carlo Ancelotti and Leonardo, but instead has opted to stay with his current employers.
The news means that Tevez is running out of options of potential destinations, as there are a limited amount of suitors who could meet City’s asking price for the forward.
By Gareth McKnight