Atletico Madrid have announced the appointment of Diego Simeone as new coach.

The Argentinian, who played for Atletico in two spells between 1994 and 2005, will take up the role on Monday after agreeing a deal for the remainder of this season and the 2012/13 campaign.

He will be formally presented to the media at the Vicente Calderon stadium on Tuesday and his first match in charge will be a Primera Division meeting with Malaga on January 7.

"Atletico Madrid have completed the hiring of Diego Simeone as the new coach of the Atletico first team," read a statement on club website clubatleticodemadrid.com.

"The Argentinian coach has accepted the offer made to him by the club on Thursday [to take charge] for the remainder of the season and another season, and will arrive in the Spanish capital to begin work at the helm next Monday."