Newcastle United have rebuffed a loan approach from the Blues for midfielder Lewis Miley.
Town were first linked with the 19-year-old at the end of last week with central midfield reinforcements one of the priorities before the window closes on September 1st.
As per Sky Sports, the Blues have made a formal enquiry but with the Magpies turning it down.
The North-East club reportedly plan to use Miley, who is also interesting a number of other clubs, during the season ahead.
However, if they made further midfield additions, it seems likely the England U17, U19, U20 and U21 international might be allowed to spent the campaign elsewhere.
Miley, who was born in Stanley, County Durham, joined his local club aged seven and has so far made 23 starts and 24 sub appearances, scoring three goals.
Town have brought in Azor Matusiwa on a permanent basis and re-signed Jens Cajuste on loan for a second season from Napoli but still need at least one more central midfield player.
Last month, they agreed a £15 million fee with Middlesbrough for Hayden Hackney but the England U21 international turned down the switch. The 23-year-old, who had hoped for a Premier League move this summer, remains at Boro.