Pellegrini has entered the final year of his contract at the Stadio Olimpico and has been attracting interest from abroad.
Premier League giants Spurs have him in their sights with managing director of football Fabio Paratici tracking his situation at Roma.
Although Tottenham have been reluctant to trigger his €30m release clause, they have been keeping tabs on his contractual situation with Roma trying to tie him down to a new deal.
The midfielder held talks with the Giallorossi hierarchy on Friday over his future and the situation has been resolved.
Pellegrini has agreed to extend his Roma stint and is now set to sign a new deal at the club, despite interest from the likes of Tottenham.
The 25-year-old is set to work with ex-Spurs boss Jose Mourinho in the upcoming season, ending the possibility of crossing the border to come to north London this summer.
Spurs have stepped up efforts to revamp their squad across the board and it remains to be seen whether they will bring in a new midfielder in the coming weeks.
