Wolverhampton Wanderers have lost out to Atletico Madrid in the race to sign Almeria defender Marc Pubill.
With Nelson Semedo having left Molineux on a free transfer, Vitor Pereira is eager to add another right wing-back to his senior ranks.
Widespread reports have indicated that Pubill - an Olympic Gold medal winner with Spain last year - has been their priority target.
The suggestion earlier on Tuesday was that Wolves hoped to have a deal finalised within the next 48 hours in what would have represented a major coup for the West Midlands outfit.
Instead, shortly after transfer expert Fabrizio Romano claimed that Atletico Madrid had hijacked the deal, the La Liga giants officially confirmed the transfer.
Atletico Madrid announce Pubill deal
In an official statement on X, Atletico said: "Agreement with UD Almería for the transfer of the Under-21 international full-back Marc Pubill.
"The Olympic champion will sign his new contract once he passes the relevant medical examination."
Romano has added that Atletico are paying €20m (£17.37m) to win the race for the 22-year-old with Almeria retaining a 15% sell-on clause.
Pubill will depart Almeria having contributed two goals and eight assists from 63 appearances in all competitions, 36 of those outings having come in the Spanish second tier during 2024-25.
Why is this a major blow for Wolves?
Pereira has not been shy in voicing his frustration over Wolves' struggles to add players to his first-team squad ahead of the next season.
Not only would acquiring Pubill's services be viewed as a coup, it would also resolve the lingering issues at right wing-back.
Wolves must now revert to plan B or start from scratch at a time when Pedro Lima and Ki-Jana Hoever are their two options in that area of the pitch.
Despite their potential, they are not suitable alternatives to Semedo, who was the club captain and brought masses of experience to the squad.
Although winger Jhon Arias is still due to arrive from Fluminense later this week, Wolves are in desperate need of a statement addition at wing-back on both flanks.