Spurs made a late bid for the FC Porto midfielder on deadline day of the summer transfer window with Villas-Boas revealing that there will be no return for his services early next year as he expects Scott Parker to soon return from injury.
"We were prepared for missing out on that player," Villas-Boas told London 24.
"We set our sights on that player in the end of the transfer window - we couldn't conclude the deal but we were ready if that failed.
"It's not likeable that we go back in January. Generally the market is very difficult and very expensive, and it's highly unlikely that we will continue to pursue that transfer because by then we will have [Scott] Parker coming back, and he's a player that we want to come back as soon as possible.
"He's a player who had maximum importance for this club last season and we feel that he can add so much to the squad that we are waiting for the moment when he can come back, so it's just a question that we have to reassess at that time."