Michael Olise has rejected Chelsea and committed to another four years with Crystal Palace, Eagles chairman Steve Parish has revealed.
The winger, 21, was expected to move to Stamford Bridge after the Blues activated his £35million release clause but appears to have U-turned.
In an Instagram post, Parish wrote: ‘I’m absolutely delighted to announce @m.olise has decided to commit his future to Crystal Palace football club and this afternoon signed a new four-year deal with the club.’
Manager Roy Hodgson added: ‘It’s the best possible news we could have. The decision has been his [Olise’s]. I must congratulate Steve Parish and [sporting director] Dougie Freedman on a fantastic job.’
It is believed Olise will be paid £100,000 a week by Palace under his new deal.
The news came after it was revealed Olise’s proposed move to Chelsea was unfolding amid ‘tapping-up’ concerns.
Palace officials made a swift decision after Chelsea’s interest in the France Under-21 international and were upset the Blues had crossed the line with their conduct in attempts to sign the player.
Chelsea, who have spent £1billion spent in 14 months of Todd Boehly’s ownership, tabled a formal bid they believed activated Olise’s release clause.
