Nikola Katic is on his way back to Rangers after Hajduk Split decided against a permanent deal.
The defender will now return to Giovanni van Bronckhorst's side and try establish himself in the Ibrox first-team set-up after his loan club confirmed his buy price was too high.
Katic suffered a serious knee injury but spent the season in his homeland to work on his match fitness and get crucial minutes under his belt
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It was reported that it would take a £3 milion fee to turn his loan agreement into a permanent stay at Hajduk from Rangers with sporting director Mindaugas Nikolicius confirming the price set it too high.
He said: "Nikola Katic is no longer with us, the transfer clause is too big for us.
"He is returning to Scotland and we thank him and wish him all the best."
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Steven Gerrard - now at Aston Villa- brought the 25-year-old to the club four years ago and he has since made 59 appearances for the Ibrox men.
But he faces serious competition to earn a spot in the Rangers starting XI next season.
Ever-present defender Connor Goldson has just put pen to paper on a four-year extension while Scotland international John Souttar has arrived on a pre-contract from Hearts.
Leon King is rated very highly by the Light Blues and has been part of the first-team set up.
Versatile Calvin Bassey can also operate in the heart of the defence as well as full-back.
