RB Leipzig expect Ralf Rangnick to extend his contract

RB Leipzig expect Ralf Rangnick to extend his contract as sporting director this week amid reported interest from Everton.

Everton, who face Southampton live on Sky Sports Premier League on Sunday, are searching for a manager to replace Ronald Koeman and were told to end their pursuit of Marco Silva by Watford, Sky sources understand.

Rangnick subsequently emerged as the club's top target, according to national newspaper reports on Wednesday, but RB Leipzig chief executive Oliver Mintzlaff maintains talks over an extension at the Bundesliga club are at an advanced stage.

"We expect to extend the contract ahead of schedule this week," Mintzlaff told SportBild. "Ralf Rangnick is the sportive engine of our club and therefore also elementary for our future development."

Rangnick was interviewed for the Everton manager's position in 2013, but the club opted to bring in Roberto Martinez ahead of the German coach.

The FA was also interested in Rangnick following Roy Hodgson's resignation as England head coach after Euro 2016.

Rangnick has led an impressive recruitment strategy at RB Leipzig which helped them finish second behind champions Bayern Munich in the Bundesliga last season.

The 58-year-old also took the decision to keep Liverpool-bound Naby Keita until the end of the current campaign.

"It was less about financial or maturity issues, but rather about which direction RB Leipzig continues to take," said Mintzlaff, when discussing negotiations with Rangnick.

"Since we have 100 per cent the same ideas, we want to continue the same: make even more stars out of jewels, stay attractive in all areas of the club and continue to grow organically."