Watford striker Darius Henderson has rejected a move to Championship rivals Preston North End.
Henderson scored three Premiership goals last season
The two clubs had agreed an undisclosed fee for the 25-year-old, but he has chosen to remain at Vicarage Road and fight for his place.
Sheffield Wednesday boss Brian Laws had also revealed his interest in signing Henderson last week.
"We're disappointed, but I hope to use the money in other areas," boss Paul Simpson told Preston's website.
"The chairman has been fantastic in backing us financially, and what we need to do is make sure we spend that money wisely."
Henderson has scored 17 goals in 65 league appearances since joining Watford from Gillingham two years ago.