The Toffees indicated to Chelsea that they were willing to stump up the massive amount to sign the exiled striker who had gone AWOL.
But Costa, set to be unveiled by Atletico this week, made it clear that he only wanted to go back to his former club.
Everton boss Ronald Koeman had already landed Wayne Rooney from Manchester United but had failed in a bid to bring in Olivier Giroud from Arsenal.
They are now interested in a January move for Benfica striker Raul Jimenez.
But Koeman needed a brace on Saturday from one-time outcast Oumar
Costa is expected to be confirmed as an Atletico player within the next 48 hours and could even be paraded ahead of the club’s game against Chelsea on Wednesday.
He has signed on an initial loan basis before the £59m deal is made permanent at the end of the season.
Atletico’s players have already made it clear that they fully endorse the recapture of the striker they regard as one of the best in the world.
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