Despite reaching an agreement with Manchester City to buy Liam Delap, Southampton lost out to Ipswich Town, as reported by the Athletic.
The 21-year-old center forward, who scored eight goals while on loan at Hull City last season, came via the Manchester City system.
It is anticipated that Delap will leave Manchester City this summer, with teams eager to sign him.
Delap was interested in Southampton and they were able to work out a deal with Manchester City, but he will not be moving to the south coast.
Delap has opted to join Ipswich over Southampton instead, and it is anticipated that his personal terms won’t be a problem.
In order to sign Delap, Ipswich is initially paying £15 million; but, if add-ons are enabled, the contract might rise by a further £5 million.
Southampton and Manchester City had identical terms agreed upon.
Delap will have a medical examination with Ipswich on Wednesday before finishing his relocation to Portman Road.