Kapo joined Celtic on a short-term deal last November with the option of extending the deal.
“These are the facts,” Lennon told the club’s official website. “Olivier Kapo signed a contract with the club which allowed us to terminate on January 10, 2011.
“Celtic took this option to terminate as we felt he had not done enough to justify a longer-term contract.
“We were willing to look at an extension to this short term contract with Olivier. However, he was not willing to accept these terms.
“Clearly, everyone at the club wishes Olivier well for the future.”
