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Pep Guardiola confirmed as Manuel Pellegrini's successor at Man City

MANCHESTER, England -- Manager Manuel Pellegrini will leave Manchester City at the end of the season and be replaced by Pep Guardiola.

Pellegrini revealed at the end of Monday's news conference that he has agreed to part ways with the club on June 30. Manchester City confirmed that Bayern Munich coach Guardiola will take charge for the start of the 2016-17 season.

In a statement released on Monday, City said: "Manchester City can confirm that in recent weeks it has commenced and finalized contractual negotiations with Pep Guardiola to become MCFC Head Coach for the 16/17 EPL season onwards. The contract is for three years. These negotiations were a re-commencement of discussions that were curtailed in 2012.

"Out of respect for Manuel Pellegrini and the players, the club wishes to make its decision public to remove the unnecessary burden of speculation. Manuel Pellegrini, who is fully supportive of the decision to make the communication, is entirely focused on achieving his targets for the season ahead and retains the respect and commitment of all involved with the leadership of the club."

Pellegrini, a native of Chile, took over at the Etihad in 2013 and led the club to the Premier League and League Cup titles in 2013-14.

Guardiola announced in December he was to leave Bundesliga giants Bayern at the end of the current campaign and outlined his ambition to coach in the Premier League.

The former Barcelona boss is close friends with City's director of football Txiki Begiristain and chief executive Ferran Soriano. The three worked together at the Camp Nou.

Guardiola won two Champions Leagues and three La Liga titles at Barca, and the 45-year-old has two Bundesliga titles in his two full seasons as Bayern boss.

Pep Guardiola has won five league titles and two Champions Leagues in his eight years as a top-flight coach.

City's statement reveals that he nearly took charge when Roberto Mancini left the club in 2013, before Pellegrini was poached from Malaga to fill the vacancy.

Pellegrini, who signed a one-year extension in last summer, made the shocking announcement at the end of his news conference ahead of Tuesday night's Premier League match against Sunderland.

"I have talked with the club and I will finish my contract on the original date," he said. "I signed a contract for one year more with the clause that the club or me not use that extension. So I will finish on the original date. It's to end the speculation.

"They are not doing anything behind my back but I don't think it's good to keep up the speculation. I'd prefer to end it today, that's why I told the press and the players, and I spoke with the club two weeks ago."

Jonathan is ESPN FC's Manchester City correspondent. Follow him on Twitter: @jonnysmiffy.

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