The Canadian internationals future had been the subject of speculation for months, with Real Madrid showing interest in bringing him to Spain.

Meanwhile, Bayern Munich were focused on extending Davies' contract at the Allianz Arena.

However, negotiations have stalled as neither club can meet Davies' Ã¢‚¬20 million annual salary demands. Real Madrid's head coach Carlo Ancelotti confirmed that the club's transfer business was concluded after their 2-0 triumph in the European Super Cup against Atalanta, leaving any potential move for Davies off the table for this summer.

"Our transfer window is closed. I am not going to ask for any signings," Ancelotti told a post-match press conference.

Looking ahead, there remains a possibility that Madrid could revisit the idea of signing Davies in 2025.

Bayern's strategy will depend on Davies' performance; if he excels, they may offer him a better contract.

Conversely, if his form does not improve, he could become a free agent and join Madrid next year.

Should this scenario unfold, Bayern might consider re-entering the transfer market for AC Milan's Theo Hernandez as a replacement.

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