Birmingham City's acting chairman Peter Pannu has confirmed the club have withdrawn their interest in Tottenham Hotspur Robbie Keane.
Blues had reportedly agreed to pay an initial £4 million for Keane, 30, with the final figure possibly rising by £2 million due to add-ons and contract clauses.
However, Pannu confirmed that following a meeting with manager Alex McLeish and chief scout Paul Montgomery on Monday, the club decided against signing the striker.
Pannu told the club's official website: "I met with Alex and Paul today to discuss some new targets - names that we will not be mentioning at this moment in time - as we have decided that the signing of Keane would not be in the best financial interests of the club.
"Everyone knows he is a tremendous player but having considered the overall package (one which certainly wasn't unfair on the part of his representatives to ask for given his talent and experience), Keane's age and the length of contract we felt that financially he wasn't the best option available.
"This is unfortunate because Keane is a class act but supporters can rest assured we are considering other options and will pursue them where financially viable."
Keane, who has started only two league games for Tottenham this season, has also been linked with a possible loan move to West Ham.