Yann M'Vila's message to Sunderland fans
The 26-year-old had been set to re-join Sunderland on a permanent three-and-a-half-year contract when his Rubin Kazan deal expires next month.
But M'Vila's representatives have told the club he no longer wishes to return to Wearside.
M'Vila took to social media after the news was confirmed.
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Hide AdHe tweeted: "I informed the Chief Executive of Sunderland that I did not wish to join the club.
"I am grateful to them for their understanding and wish them well for the season.
"I'd like to thank all the supporters for their support!"
Chief executive Martin Bain held talks with manager David Moyes and it was agreed not to enforce the contract, with Bain adding: "Any player that we bring to Sunderland Football Club must be wholly committed."
Sunderland officials had been in negotiations with the Russian side all summer over the permanent transfer of fan favourite M’Vila, who starred on loan last season at the Stadium of Light.
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Hide AdBut any hopes of landing him were thwarted by cash-rich Rubin Kazan’s refusal to go any lower than their £8.5million asking price for a player who had just a few months left on his deal.
As a result, a pre-contract agreement was then agreed between M’Vila and the Black Cats for the midfielder to join in January, as reported by the Echo.