Birmingham City's summer transfer plans have suffered a setback after one of their top targets snubbed a move to St Andrewâ€™s, reports the Birmingham Mail.
German striker Cacau stunned the club by doing a U-turn and signing a new contract with VfB Stuttgart.
The Brazilian-born 29-year-old was all set to join Blues on a Bosman free transfer.
Cacau, who has scored 12 league goals this season, flew into Birmingham for hush-hush talks three weeks ago and was shown around St Andrewâ€™s and Wast Hills.
He promised to make a decision quickly thereafter. A contract was drawn up and the feedback from his representatives suggested he was excited by the challenge of the Premier League.
But he got cold feet and on Friday night penned a new deal with Stuttgart until 2013 after initially turning down a contract there at the turn of the year in order to seek pastures new.