Sanches is currently recovering from a knee injury and faces another month out. Wolves still had hope to finalize a deal before Tuesday’s deadline. The was then called off by Lille.
He has managed five goals and five assists in 60 appearances for Lille and helped them win Ligue 1 last season.
Sanches had a breakout tournament with Portugal at Euro 2016, which led to the German champions signing him from Benfica.
With the deal off, it’s suggested Ruben Neves will nolonger be allowed to move after reports linking him with Tottenham. Manchester United also had hopes for Ruben. Adama Traore is another Wolves player who has been in and out of the news last week. But it’s understood he will still stay at the club.