Moutinho has been linked with a move to the Premier League, with Everton, Arsenal and Chelsea being linked with the playmaker.
Moutinho’s new deal will keep him at the club until June 2014.
“Sporting informs that it has renewed the contract of employment with the player Joao Moutinho, which will run until June 30, 2014,” read a club statement.
“The termination clause was set at €22.5 million and in return, the player Joao Moutinho waived the right to receive 10 percent of a future transfer, and the right to receive the amount corresponding to 10 percent of any proposal, exceeding €15 million, that Sporting rejects.”
