AC Milan defender Thiago Silva has signed a five-year contract extension, keeping him at the Serie A club until June 2017.

Thiago Silva appeared to be on the verge of a big-money transfer to Paris Saint-Germain last month. However, Milan confirmed the Brazil international signed a new contract on Monday.

The 27-year-old Thiago Silva's previous contract was set to run out in 2016.

Milan turned down an offer from PSG for a reported ?40 million ($50 million), plus ?10 million ($12.5 million) in bonuses for him.

Italian media has reported that Thiago Silva will earn ?6 million euros ($7.6 million) a season.

He has been at Milan since 2009 and helped the team win the Serie A title in 2011.