"We did as much as we can as a football club to sign him," Hendry told the club's official website. 
"We have spoken and agreed everything with the club but it doesn't look like it is going to happen, though you never know in football.
"We are getting on with things and Luke was one we were monitoring."
Beckett, who joined the Blades from Stockport in November 2004 has failed to impress Blades boss Neil Warnock though has been given little opportunity to prove his worth. In the meantime he was sent out on loan to Huddersfield and Oldham where he made a big impression.
However it is believed that Oldham boss Ronnie Moore is keen on signing the former Barnsley trainee whilst Wednesday at one point was also interested.