Athletic Club have appointed German boss Edin Terzic as their new head coach.

The former Borussia Dortmund coach has agreed a two-year contract and is scheduled to be presented by the Bilbao-based club at the start of next season.

The 43-year-old will replace Ernesto Valverde, who said in March that he would leave Athletic Club this summer after four years in charge.

Andoni Iraola had been linked with a return to his former club after saying he will leave his role as Bournemouth manager this summer.

Terzic has had two spells in charge of Dortmund, winning the German Cup in 2021, narrowly missing out on the Bundesliga title in 2023 and reaching the Champions League final in 2024.

He asked to leave Dortmund shortly after losing 2-0 to Real Madrid at Wembley and was yet to resume his managerial career.

Terzic had previously been Slaven Bilic's assistant at Turkish club Besiktas and Premier League side West Ham.

Athletic Club are currently eighth in Spain's La Liga table with four games of the season left.