Dayot Upamecano has ended speculation about his future by signing a new contract with Bundesliga side RB Leipzig.

The 21-year-old defender had been linked with a move to Premier League outfit Arsenal and his previous deal was due to expire in 2021.

Leipzig had told Upamecano he needed to sign a new contract or would likely be sold in this transfer window rather than being allowed to depart for free a year down the line.

And the France Under-21 international has elected to stay put, agreeing to terms on a deal that runs until 2023.

"I feel right at home here in Leipzig - the overall package is perfect," said Upamecano, who was also thought to be of interest to Bayern Munich. 

"We had good conversations with [chief executive] Oliver Mintzlaff, [sporting director] Markus Krosche and [head coach] Julian Nagelsmann, which showed to me that extending my contract was the right decision for me to make.

"Our young and hungry team is part of an ambitious club. I want to take the next step with Leipzig and reach our aims, because I'm convinced by the way we play our football.

"I have been in Leipzig for over three years and I have continued to improve alongside the team's development. I want to carry on developing personally, and I think Julian Nagelsmann is a coach that can bring me to the next level."

Leipzig, who have a Champions League quarter-final against Atletico Madrid to look forward to next month, have already lost Timo Werner to Chelsea after he became the club's all-time top scorer last season, so Upamecano's extension is a boost.

The centre-back has so far played 111 times for Leipzig since joining from sister club Salzburg in January 2017.

"We are obviously pleased that Dayot Upamecano has signed an early contract extension," Krosche added. 

"Dayot has become a top defender at RB Leipzig over the past few years and can still develop at the age of just 21. It's great that he will continue to grow as a player here with us.

"We have managed to retain the services of one of our most important players, who is a key figure for the club and also plays the way we want to as a team."