Kylian Mbappe has agreed to sign a new three-year deal with Paris Saint-Germain.
The France international, whose current contract is due to expire on June 30, had been widely expected to leave the Ligue 1 champion at the end of the season.
Real Madrid were close to finalising a move for Mbappe before his dramatic U-turn.
The World Cup winner was on the verge of leaving the club on a free transfer after his contract expired.
Real tried to sign Mbappe last year but was rejected by Paris Saint-Germain, who were prepared to lose him for nothing this summer.
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The new contract that is likely to keep him at the Parc des Princes until 2025, has not been signed yet.
The highest paid player in the game is understood to be Kylian Mbappe, who has been offered a pay package double his current terms.
The signing-on figure for an extension would be in the region of 100 million dollars, and includes concessions over image rights as well as bonuses for goals, Ballon d'Or honours, and European success.