Bayern Munich's director of sport Max Eberl has confirmed that the club will not be taking up their option to sign Nicolas Jackson on a permanent basis this summer.
The Senegal international arrived at the Allianz Arena last summer amid a turbulent period at Stamford Bridge, as the Chelsea hierarchy initially cancelled his loan due to Liam Delap and Joao Pedro's injuries.
However, negotiations were eventually revived, and Jackson was given the green light to join Vincent Kompany's side, where he would play backup to Harry Kane.
The 24-year-old has unsurprisingly failed to break into the starting XI on a regular basis, but he has come up with a respectable 10 goals and four assists in 29 games in all competitions, while also collecting a Bundesliga winners' medal.
Chelsea and Bayern agreed a €65m (£56.3m) option to buy in Jackson's loan terms, but the suggestion from the Allianz Arena had been that the Munich giants would not trigger the permanent clause.
Nicolas Jackson to return to Chelsea this summer
Now, Eberl has revealed that Jackson will be heading back to Chelsea when the loan agreement expires, telling ZDF: "We will not trigger the option for Nicolas Jackson."
Bayern's decision comes in spite of the striker's praiseworthy form in front of goal recently, as he has scored in each of his last three Bundesliga games against St Pauli, Stuttgart and Mainz 05.
Jackson will now endeavour to help Bayern Munich win the Champions League, as the Bundesliga champions prepare to face reigning champions Paris Saint-Germain in the first leg of their semi-final on Tuesday.
The Chelsea loanee has managed three goals and two assists in eight European appearances this season, but he did not play a single minute of the quarter-final triumph over Real Madrid.
What next for Nicolas Jackson after Bayern Munich decision?
Bayern forking out over £50m for a backup striker would have been nonsensical from a business perspective, and Jackson was always expected to return to Chelsea when the campaign ended.
The 24-year-old is still contracted to the West London giants for another seven seasons, and a revival cannot be entirely ruled out given Delap's struggles and links with a move away.
However, Jackson will almost certainly seek pastures new when the summer window reopens, and he has reportedly been offered a European escape route from Stamford Bridge.
The Saudi Pro League could be an alternative destination for Jackson, but the Blues man will likely want to continue his career in Europe for the time being.
The Senegalese attacker has contributed 30 goals and 12 assists in 81 games for Chelsea since joining from Villarreal in a £32.1m deal in 2023.