Timo Werner and Jurgen Klopp remain on good terms after the Liverpool boss phoned the striker to tell him they would not be pursuing a move.
The RB Leipzig striker has been heavily linked with a switch to the Premier League and Anfield was thought to be his most likely destination.
But Chelsea have stolen a march and are now in talks to sign the 24-year-old frontman.
Liverpool's decision to overlook Werner were purely financial and Klopp made the player aware of this.
He held talks with the Reds' owners, Fenway Sports Group, about whether the deal was possible.
Liverpool have been very shrewd in the transfer market since their American owners took over and opted out of a move for the German.
Mirror Sport revealed back on May 1 that the Premier League champions elect were opposed to paying the striker's £50m release clause.
The coronavirus pandemic has had a huge knock on affect on the finances of football clubs are Liverpool were prepared to miss out on the player.
Werner had previously spoken highly of Klopp and the work he has done on Merseyside. Their relationship hasn't changed, report the Athletic, and they remain on good terms.
This term he has been prolific in the Bundesliga for a Leipzig side that are nine points off leaders Bayern Munich.
Werner also scored the winner when the German side beat Tottenham in north London in the Champions League.
And Julian Nagelsmann admitted, following the player's exploits, that his star striker could be set for pastures new.
“He is in a good mood, feels good and trains well,” he told Sport Bild.
“I do not have the impression that he is carrying a large cross with him.
"But he is a young guy who is sure to sit at home with his wife and ponder whether he will stay or change."
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