Chelsea & Benfica abort negotiations over David Luiz's transfer - report

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Defender David Luiz is set to remain with Benfica after talks between the Portuguese club and Chelsea broke down on Wednesday, according to reports from Portugal.

News daily Record claims that the two clubs decided to call off negotiations after failing to reach an agreement over the terms of the transfer.

It has been reported that Benfica president Luis Filipe Vieira refused to lower the £21.5 million sum they want for the 23-year-old centre-back, an amount that the Premier League champions are unwilling to meet.

Reports have also emerged suggesting that the clubs are just £1m apart in their valuation of the player, but the deal is further complicated by payments Benfica would owe to their investment fund Benfica Stars, as well as Luiz's former clubs Vitoria Bahia and Sao Paulo.

A source close to the deal told ESPNSoccernet: "The problem is over no more than £1m. There is a lot of work to be done to get this deal through, if it is at all possible to do so.

"The truth is that Benfica don't want to sell, as they think they will get far more money for Luiz in the summer, and there are further complications over the way the money is then split once it gets to Benfica."

Luiz has been included in Benfica's squad against Rio Ave in tonight's Portuguese Cup tie and is set to start.

The Brazil international missed Saturday's league win against Nacional through suspension.

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