Celtic have decided against signing Corinthians fullback Coelho.
The 24-year-old right-back arrived in Glasgow last Thursday and had been training with Gordon Strachan's side.
However the arrival of Germany international Andreas Hinkel from Sevilla - another right-back - appeared to scupper his hopes of a permanent switch to the Hoops.
Corinthians have now confirmed the deal had been cancelled and announced Coelho had loan offers from other clubs.