Brazilian midfielder Walace had looked certain to be on his way out at Hamburger SV Markus Gisdol.
However, after talks with new head coach Bernd Hollerbach, it now appears that Walace will stay, according to Kicker. The 22-year-old was close to joining Flamengo but sporting director Jens Todt revealed to the German outlet that the issues had been resolved and that Walace would once again be available for selection.
