Borussia Dortmund have confirmed Ilkay Gundogan has rejected an offer of a contract extension which could pave the way for a move to Manchester United.
Gundogan's current deal at the Westfalenstadion expires in the summer of 2016, leaving Dortmund with the dilemma of losing him on a free at the end of next season if he is not sold this summer.
Widespread reports in the German press last week suggested United had agreed a fee of £21.5m ($33m) to sign the Germany international, only for the club to firmly deny suggestions of an agreement in the following days.
It would appear however that his time at the Bundesliga giants is coming to an end after informing the club he won't be signing a new contract.
Dortmund's official Twitter account brought the news of the contract rejection on Thursday afternoon (30 April).
After his key role in Dortmund's Bundesliga success and Champions League push in 2012, Gundogan missed over a year of football with a chronic back problem but returned this season and has remained injury free.
In the past week, Dortmund have dismissed suggestions of an imminent agreement with United over the 24-year-old midfielder.
"There is no signature, no contract, no offer, no demand, there is not even any contact," Dortmund sporting director Michael Zorc said on Saturday.
"The last time I spoke with Manchester United was in November 2014 and it was about something else."
Dortmund are already facing a summer of transition following the confirmation of Jurgen Klopp's departure at the end of the season. Thomas Tuchel has already been announced as his successor but the future of current stars Gundogan and captain Mats Hummels, who is also closely linked with a move to Old Trafford, remains uncertain.