Caracciolo has struggled for form this season

The 26-year-old, co-owned by Palermo and who has struggled for form this season, has instead joined one of his other previous clubs in Serie B.

Rangers chief executive Martin Bain told his club website: "Discussions were held in Milan with the player.

"The player was co-owned by Palermo and Sampdoria. Discussions proved to be difficult and he chose Brescia."

Caracciolo, twice capped by Italy, has netted just once and had been allowed to talk to other clubs.

The forward known as 'L'Airone' - the heron - due to his tall, gangly frame had also been wanted by Torino.

MY SPORT: DEBATE Are Rangers disappointed to miss out on Caracciolo?

Rangers had money to spend following the sale of Alan Hutton to Spurs and may receive another injection of funds if Daniel Cousin's proposed switch to Fulham gets the go-ahead.

Fulham have agreed a �3m fee for Cousin but are awaiting a Fifa ruling, likely in the coming days, about whether the striker is able to sign for another club this season having already played for Lens and Rangers.

Caracciolo netted 24 goals in two seasons with Brescia before Palermo bought him.

He was on target nine times during his first term in Sicily, but that dropped to five in the next campaign.

Since moving to Sampdoria, he has found it hard to nail down a regular berth, featuring in just 12 games for the Genoa side.

He has completed just one game, being substituted six times and coming on as a substitute five times.