Swansea City manager Garry Monk has played down suggestions that Michu is planning to retire from football.
It had been reported that the 29-year-old forward was considering calling time on his career after suffering a setback with an ankle injury.
However, Monk has said that there is no truth in the story and the Swans are working on finding Michu a new club.
"It is still ongoing as far as I know, but he is not with us in Swansea," Clubcall.com quotes Monk as saying. "He is training in his homeland and we are trying to come to an agreement with another club to take him, or find a good way to get it sorted for all parties.
"It has taken longer than we would have liked. I have not heard he is thinking of retiring but I have left dealing with that situation to the chairman."
Michu joined Swansea from Rayo Vallecano in 2012.