Everton manager Roberto Martinez claimed on Friday that the club's pursuit of Sam Byram failed because the deal was not "right" for them.
The Leeds United full-back completed a move to West Ham United on Wednesday for an undisclosed fee.
The 22-year-old is believed to have held initial talks with Everton after the two clubs reportedly agreed on a £4m fee earlier this month.
However, the right-back opted to join the Hammers instead on a contract until 2020.
When asked about Everton's failed move for Byram, Martinez told reporters: "We identified Sam Byram as a talent, but in the end it wasn't right for us with the squad we have and not the right move for him either."
Meanwhile, Martinez has insisted that Romelu Lukaku will not be sold this month.
