Birmingham first team coach Peter Grant admits there "are a lot of bridges to be crossed" before any possible deal for Tottenham striker Robbie Keane is completed.
Spurs boss Harry Redknapp has confirmed that a bid of around £7 million has been lodged by City for the Republic of Ireland international.
Grant has first-hand knowledge of working with Keane last season when first team coach at Celtic during his loan spell away from White Hart Lane.
But he insists speculation that a deal is imminent for Keane is wide of the mark.
Grant said: "It is a million miles short of what was supposedly breaking last night.
"There is no such thing as a medical having been put in place.
"Alex has inquired about Robbie many times, even when I came here in the summer. When you see top quality players not in the side and you want to add quality to your own squad, Robbie definitely comes into that category.
"Alex has inquired about him, that is open knowledge, as he has done so about a lot of players.
"The quality of the player does not come into question but I think there are a lot of bridges to be crossed yet."
Grant also admitted Blues manager Alex McLeish also had to take into account Keane's personal circumstances.
He said: "The manager would love a talent like Robbie Keane to come to Birmingham but there are a lot of clubs looking at him.
"Then the player, where does he live? I know what he was like in Glasgow when he liked to be back in London with his family.
"You have to manage all that and I think Alex has built here is a squad here who are very close knit.
"Our gaffer has got to think about his squad, how that would react to his squad. There are a lot of things that come into play.
"But the quality of the player does not come into question."