Here is part of the email I received from Sedo just a few minutes ago.
"Dear Mr. XXXXX,
Unfortunately we have had no choice but to cancel the transfer for this domain name. Despite repeated emails and contact attempts the buyer has failed to make payment for this domain.
The contract in place for this transaction is legally binding. Should you wish to pursue legal action, the buyer's applicable contact details have been made available for your viewing. You will now find them on the contract for this transaction within your Sedo account.
A smooth transfer is only possible with full cooperation from both parties and we regret that this cancellation is necessary. We hope that your future business transactions with Sedo run more smoothly.
Should you have any further questions please feel free to contact us.
Best regards,
XXXXXXX "