Chelsea were favourites to sign AS Monaco midfielder Aurelien Tchouameni before the club was seized by the UK government from owner Roman Abramovich.
A range of top clubs have stated their interest in signing the youngster, who is considered one of the brightest up-and-coming stars in French football.
Chelsea were one of the interested parties at one point, with Thomas Tuchel having been keen to boost his midfield options.
But Marca says while the Blues were 'best-placed' to sign Tchouameni, they have dropped out of contention in recent weeks, due to the off-field crisis engulfing the Premier League giants.
Owner Roman Abramovich was added to the UK government sanctions list, with Chelsea banned from signing players as a result. Those restricitions has 'paralyzed all movement' at the club and means that Stamford Bridge is considered to be a 'discarded destination'.