The France international, who scored 23 goals for Lyon in Ligue 1 last season, was Jurgen Klopp’s prime target for the summer and has been identified as Philippe Coutinho’s long-term replacement.
A five-year deal, worth more than £140,000 per week, had been agreed and Liverpool’s medical team travelled to Paris on Friday to conduct a medical at France national team base in Clairefontaine.
It had been expected that Liverpool would be in a position to announce his signature later that day but it is understood issues arose during the course of the fitness tests to make the Anfield club think twice.
There were suggestions in France that Liverpool had tried to renegotiate the terms of the deal that had been struck by Sporting Director Michael Edwards but that was never the case.
When the issue dragged into Friday, Lyon posted a statement on their website which confirmed the move was dead and made it clear that negotiations will not resume.
It read: 'Olympique Lyonnais informs that the tripartite negotiations with the Liverpool club and Nabil Fekir for the transfer of the captain of OL have not succeeded and that Lyon has decided to put an end to this negotiation on Saturday night.
'Although Liverpool has been the priority of a possible transfer of Nabil, and subject to other proposals consistent with the interest of Nabil and OL and from ambitious clubs, Lyon is delighted soon to be able to count on the presence of the captain who is a leading rookie for this season 2018/2019 during which the club will play the Champions League being in the 3rd hat of the draw.'
The statement was posted on Lyon's official club website, but was removed from the page shortly afterwards.
It is currently unknown as to why the original message was taken down.
Source: Daily Mail
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