Olympiakos Piraeus named Portuguese Vitor Perreira as coach on Wednesday, 24 hours after the surprise departure of Spaniard Michel.
The 46-year-old Pereira, who will be unveiled on Thursday, made his name at Porto where he won league titles in 2012 and 2013 before leaving to coach Saudi club Al-Ahli.
"Olympiakos announces the start of its co-operation with the Portuguese coach Vitoria Pereira," Olympiakos said in a statement.
Pereira has reportedly agreed a two-and-a-half-year contract with the Greek champions.
Michel enjoyed success during his reign but was criticised for the team's style of play and their failure to make it past the group stage of the Champions League.
The 51-year-old Michel won two league titles and the 2013 Greek Cup with Olympiakos who are second in the Super League table, a point behind leaders PAOK Salonika.
"After leaving the training ground for the last time and saying goodbye to my players and employees of the club who for the last two years made me feel at home, I was unable to hold back some tears; I will miss you," Michel told the Olympiakos website.
"Football rarely notifies you early enough when you come and when you leave. I am leaving for my home, but a part of me will stay here. I was very happy here and I'll take great memories with me."
Michel had a contract until June 2015, but despite his success – the team also reached the Champions League round of 16 last season – Greek media reported that owner Vangelis Marinakis was unhappy with their failure to play attractive football.
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