Roberto Martinez will not be joining Liverpool or Aston Villa and will be backed in the transfer market after opting to stay with Wigan, chairman Dave Whelan has told ESPN.
• Whelan: Rodgers for Reds
Martinez met with Liverpool owners FSG in America last week to discuss the vacancy at Anfield but had reservations about working under a director of football at Anfield and returned to the UK on Tuesday, with no deal in place.
The Spaniard, who has also been linked with Villa despite rejecting an offer to manage the Midlands club at the start of last season, met Latics owner Whelan for talks on Thursday and was promised investment in the squad.
"Roberto is staying with us and I've agreed to his request to up our spending on youth development and training facilities," Whelan told ESPN.
"And that's going to be pretty costly as I have agreed to a full-sized indoor pitch and that will cost £1.5 million. Roberto's very keen on that aspect of the club.
"I have also agreed with him to bring in three or four new players".
Martinez, 38, will continue at the DW Stadium with no amendments to his current deal as he moves into the second year of his contract.
Whelan went on to give an insight into Liverpool's recruitment process and explained why he thought Swansea's Brendan Rodgers, rather than his own manager Martinez, is set for the post.
The Wigan boss told ESPN: "They set down their rules on how they saw the role and the way they wanted the team run and that was not the way Roberto would do it.
"Roberto has his own way of doing things but they are American owners who have their own ideas of how it should be done. They are entitled to want to do it their way and Liverpool are a big club so I can see why Brendan Rodgers has opted to go there and good luck to him he's a fine coach.
"But I don't think Swansea are going to be too pleased; they lost Roberto to us and they were none too happy about that and now they have lost Brendan so I imagine they will be even more unhappy right now."