Hoffenheim's long-standing coach Ralf Rangnick has left the Bundesliga club after failing to prevent the transfer of midfielder Luiz Gustavo to Bayern Munich.
Both sides confirmed the departure on Sunday, saying Rangnick was leaving ''by mutual agreement.'' Assistant coach Marco Pezzaiuoli was promoted to take Rangnick's place.
Rangnick had been opposed to the immediate transfer of Gustavo but Hoffenheim's de-facto owner Dietmar Hopp agreed to a deal with Bayern.
Rangnick took over in 2006 and, helped by Hopp's money, led Hoffenheim's rise from the third division into the top flight.
The club long led the Bundesliga in its first season, before establishing itself in the middle of the top division.
Hoffenheim finished the first half of this season in eighth place and is also in the quarterfinals of the German Cup.
Rangnick had clashed before with Hopp over the transfer policy. Hopp became a billionaire in the software industry and has bankrolled the provincial club for more than a decade, also building a new stadium for 30,000.
In addition to an undisclosed amount of cash, Bayern also sent 18-year-old midfielder David Alaba on loan to Hoffenheim.
