The 54-year-old Dutchman, who took charge in June 2008, has been replaced by Greece Under-21 coach Nikos Nioplias after agreeing to end his contract by mutual consent.

Ten Cate's exit comes as a surprise as the former Chelsea assistant led the Athens club to 10 victories in 13 league matches this season, a record which sees the Greens sitting just one point behind leaders and reigning champions Olympiacos.

Pana confirmed the move in a statement on club website www.pao.gr, saying: "Panathinaikos announces that following a meeting between the chairman, Mr Nikolaos Pateras and the coach of the team, Henk ten Cate, that they have agreed to end the collaboration."

Despite the fact the club are well-placed in their bid to win a first league title since 2004, Ten Cate has been criticised by sections of the Pana supporters and the media for his perceived constant tinkering with players and formations.

In a brief statement, Ten Cate said: "It was an honour for me to coach Panathinaikos and the results we had backed up my work.

"I have laid the foundations for the team. I respect the fact that certain people can not be pleased with the complete picture but myself and the staff gave everything to be successful.

"The decision of chairman will not influence the friendship we developed.

"Finally, I would like to thank all the fans of Panathinaikos for their support and I hope that the team wins the title."