AC Milan have revealed how they were priced out of a move for AS Monaco star Geoffrey Kondogbia after both Arsenal and Inter Milan entered the race to sign him.
The Frenchman was reportedly close to agreeing a summer switch to the San Siro, with the midfielder and the two clubs agreeing to a deal.
However, things changed once Premier League side Arsenal declared their interest, and also AC's local rivals Inter Milan.
As soon as Monaco heard about rivaled interest, the demands from both club and player increased, and AC Milan have confirmed that they were priced out of the market as soon as other clubs entered the race.
Milan are desperate to bring the glory days back to the San Siro and are expected to have a busy summer in the transfer window, but their first main target has already been missed with unconfirmed reports claiming Kondogbia has now joined Inter.
According to Guglielmo Cannavale, an Italian journalist, the midfielder has put pen to paper on a five-year deal with Inter, ending all speculation about his future and dealing a massive blow to both Arsenal and AC.
It's believed Monaco were originally asking for around £25million for the 22-year-old, who has had a standout season in Ligue 1, but with major interest being shown across Europe, that price-tag may increase.
In fact, AC Milan CEO Adriano Galliani has recently revealed that his club were priced out of the market due to rival interest and he then stated that whoever does eventually sign the midfielder will be 'bled dry'.
Milan and Monaco were in formal talks regarding a potential deal, but it all changed once Arsenal and Inter entered the race.
Speaking about Kondogbia and the fall through of their deal, Galliani admitted he simply couldn't compete financially with others.
"Whoever wins will be bled dry," he told Gazzetta dello Sport.
"The competition has caused the price-tag and the player's own demands to explode.
"It is going to be at least €35m (£25m), but you can imagine it now going beyond €40m (£28.6m), and Kondogbia is now asking for several million euros to be convinced."
An official statement announcing the Inter Milan deal is expected any day now after the midfielder was picture signing a contract with the club.