Birmingham City manager Lee Clark has confirmed that the club will not be signing Swindon Town defender Paul Caddis.
Caddis, who has a year remaining on his Swindon contract, spent last season on loan at St Andrew's.
Clark has said that Birmingham have held talks with the League One club about making the move permanent but they were unsuccessful.
He told the Birmingham Mail: "The only way it can be resurrected - which I don't think Swindon will do - is if they make him available as a free transfer.
"It's a blow for me and a huge blow for Paul, who has loved it at the football club. He really settled with his young family and I have been delighted with his performances.
"We are all disappointed and I'm more disappointed for the lad as I know how much he was enjoying it with us and how he was looking forward to joining us permanently. But we are where we are. I have been as transparent as I can be with the supporters, I have told them the position, and we have to move on."
Caddis made 28 appearances for the Blues.