Tough-tackling Henry revealed there was some interest from Premier League clubs, instead pledging to help Wolves return to the top division, just as he did in the 2008-09 season, captaining the side to promotion.
"I am delighted to have signed a new four year contract," Henry told the club's official website. "I think there was some interest from a couple of clubs in the Premier League but I was happy to commit my future to the club and I am fully committed to the cause.
|9/1||Wolves are 9/1 with William Hill to win the Championship|
"I already had two years remaining but am delighted to have extended my deal which takes me up to 10 years here and would make eligible for a testimonial as well.
"I've been here a long time but I have to say the six years have flown by! I'm 29 now and I feel that I'm in my best years and hopefully I can do the business for the next four years.
"Last time we were in the Championship it was a very good year and hopefully we can have another one like that."
New manager Stale Solbakken is delighted that Henry has signed a new deal, despite interest from the Premier League, and hopes the experienced midfielder can provide stability in Wolves' quest for promotion.
"I think it gives Karl stability but also gives the club stability and shows that to the players who are here and others we may sign," Solbakken told the club’s officiate website.
"Karl is a good player and also an important player because he knows the culture of the club and the league we are in."