Newcastle have been chasing Cabella since last summer and failed to land him in January.
They returned with a fresh bid last month as they looked to finalise a quick deal, but their offer of €8million was shunned by Nicollin.
Cabella has since been drafted into France's World Cup squad and the Montpellier chief is standing firm on his valuation of the player, which is closer to €16million.
Nicollin has never held back with his opinion of Newcastle as he believes Cabella should move elsewhere.
"Yes, the "great" English club Newcastle has made us an offer of 8million from three weeks ago, which I refused," he told Le Sport 10.
"I do not think Newcastle is right for him, and I also think they are taking us for idiots. They sold Yohan Cababye to PSG, for I do not know millions, and they should not take us for fools.
Nicollin confirmed that he wants around €16million for Cabella, as he compares him to another young French midfielder Florian Thauvin, who joined Marseille for that fee last summer from Bastia.
"I saw Thauvin was purchased for 16million and I think Cabella is slightly ahead of him, so let's say that for 16million he leaves and if nobody wants to give that to us and he will remain.
"He still has two years of his contract, so there is no hurry to sell."
It is understood that Cabella is keen on a move to Newcastle, but Nicollin insists that players will not always get what they want.
"It is not necessary that players always win anyway. When a player wants to leave he is always determined to get there," he added.
"I hope he does go but if it is not for us, he will not go, that I guarantee you."
He did confirm that Paris Saint Germain had shown an interest in another of his midfielders Benjamin Stambouli, who has also been linked with a number of Premier League sides.
"They [PSG] asked about Stambouli but not about Cabella."