Southampton have announced that right-back Cedric has signed a new four-year contract at St Mary's.
The 24-year-old commits his future to the Premier League club six weeks after lifting the European Championship trophy with Portugal.
Cedric appears to be a vital member in manager Claude Puel's plans as he has started both of the club's opening Premier League games of the season.
"I'm really happy," Cedric told Southampton's official website. "The club has given me more confidence and they show me that they also trust in my football. I am really happy to be part of this club and be part of this family as well."
Peel added: "It's good news for the club, for Cedric and for all the team. He is an international player, he has won Euro 2016 with Portugal and it's important for the club to keep players of his calibre.
"I'm happy for him and for us to keep Cedric with this team. He is a good player, important, a technical player and I am sure he will do many good things this season."
Executive director of football Les Reed said: "Since his arrival at the club, Cedric has gone from strength to strength, ending his first season in England with a memorable Euro 2016 for Portugal this summer.
"At just 24, he now has plenty of experience under his belt at both club and international level, and we believe he will continue to be a key part of the club's progression for many years to come.
"Although Cedric has only been with the club for one season, he has developed as a player and gained a real understanding of what is required to succeed in the Premier League. He becomes the seventh player to sign a new contract this summer, strengthening the club's commitment to tie down its top talent."
The right-back made 27 appearances for the Saints last season following his 2015 move.
