Riccardo Sottil had already undergone his medical tests in England, but Watford have decided not to sign the Fiorentina winger, while Stephan El Shaarawy is close to Genoa as a free agent.
No Watford for Sottil
Sottil was all set to come to Watford on loan with an option to buy at the end of the season from Fiorentina.
He flew out to London and underwent the medical tests, so it was expected to be a simple matter of finalising the paperwork.
Instead, Sky Sport Italia claim late this evening that Watford changed their minds and will now not be signing Sottil after all.
The 27-year-old was a product of the Fiorentina youth academy and had loan experiences at Pescara, Cagliari, Milan and most recently Lecce.
His contract at the Stadio Franchi only runs to June 2027, so it is possible he will either look for markets that are still open, or terminate his contract by mutual consent to become a free agent.
Genoa are meanwhile close to agreeing terms with free agent El Shaarawy, who was released by Roma on June 30.
This represents a return home for the attacking winger who turns 34 next month, because he was in the Genoa academy and flourished before moves to Milan, Monaco, Roma and Shanghai Shenhua.
He last wore the Genoa jersey in May 2011.