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Athletic Bilbao coach Ernesto Valverde signs new contract

Image: Ernesto Valverde has extended his stay with Athletic Bilbao

Athletic Bilbao head coach Ernesto Valverde has signed a new contract with the Basque club.

The deal sees Valverde tied to Athletic until June 2017 and comes following media speculation linking him with a possible summer move to Real Madrid.

The 52-year-old former Valencia, Olympiakos and Villarreal boss, who took over as Athletic coach for the second time in 2013, said: "I'm very happy to be here at Athletic."

Athletic beat Deportivo La Coruna 4-1 on Wednesday night to move to within a point of Celta Vigo in sixth spot in the Primera Division.

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They are in the last 16 of the Europa League where they will face Gary Neville's Valencia.