Reports had claimed that the Portuguese defender had agreed terms with the Turkish club but they have now rubbished such a suggestion
Besiktas are not in the final stages of negotiations for former Real Madrid centre-back Pepe, despite reports to the contrary, according to Ali Naibi, the club's director of football operations.
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Marca reported on Saturday that the Portugal international had snubbed a move to Paris Saint-Germain in favour of the Turkish side, after talks with the Ligue 1 giants broke down.
Goal understands, however, that PSG remain confident that they can lure Pepe to Parc des Princes, having offered him a one-year contract, with an option to extend it by another season.
Jorge Mendes, Pepe's agent, is keen to receive a two-year contract offer for his client, allowing Besiktas hope of potentially gazumping the competition, though Naibi has played down such a possibility.
"We are in the market to sign a world class centre back and Pepe is one of the players any club would welcome with pleasure," he told Goal.
"But we are not in final stage for this transfer."
Pepe, who confirmed that he was departing Real in June, spent 10 years at the club, winning three La Liga titles and three Champions League winners' medals.