updated 12/19/2011 AT 1:00 PM ET
•originally published 12/26/2011 AT 8:00 AM ET
But now, Hefner, 85, says he and his former fiancée, 25, are still going back and forth about who gets permanent ownership of the pooch.
“We both love the puppy,” Hefner told PEOPLE on Thursday at the Playboy Mansion in L.A. “I told her if she wants to keep the ring and the Bentley, then maybe I can keep the puppy. I [hope] we will work it out.”