The Magpies made a move for the 23-year old midfielder on Wednesday after Cabaye joined Paris Saint-Germain in a £23million deal but Grenier's agent insists his client will not be making his way to St James' Park.
"It is not easy to say no to a big club like Newcastle but Clement is finally decided to stay in Lyon," Guerra told Le 10 Sport.
"I have the upmost respect for a player of Cabaye's quality. But who deserves to have that tag?
"As his agent I ask is he worth half the price of Cabaye?
"For all those reasons it has led us to decline the offer from Newcastle.
"The conditions of the deal did not seem fair."
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