The former Porto and Olympiakos coach was leaving Fenerbahce a year after taking charge. Fenerbahce lost the domestic championship and cup to arch rivals Besiktas and Galatasaray respectively last season.
The 48-year-old Portuguese tactician had led Olympiakos to a Super League and Greek Cup double, and had won the Primeira Liga twice during a two-year stint as coach of Porto.
(Reporting by Ece Toksabay; Editing by Daren Butler and Alison Williams)