The Morocco Fut Coins international is available on a free transfer, and the Reds boss was initially hopeful of bringing him to Anfield.
Only last month Liverpool appeared to lead the race for his signature but the player has since expressed interest in joining Arsenal, and Benitez believes any chance of securing the player is now dead.
The 26-year-old has reportedly hit out at Liverpool for being fussy over contract negotiations, but Benitez is angry at the breakdown of the deal.
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