The former France international only took charge of the Chinese club in December but has now allegedly stepped down after a run of just two wins from seven games
It was claimed earlier in April that the Frenchman had resigned only for the former Bordeaux boss to immediately deny the reports.
However, the club confirmed on their official website on Thursday that Tigana had stepped down and been replaced on an interim basis by Jean-Florent Ikwange Ibenge.
According to the statement, Ikwange Ibenge will head up a five-man coaching team which will also feature Alioune Kissima Toure, Ian Walker, Younousse El-Bouhssaini and striker Nicolas Anelka.
The latter joined the club from Chelsea in January and was added to the coaching staff on April 11. It has been reported that the former France forward is now effectively in charge of the first team.
Tigana only arrived in Shanghai in December of last year but has now paid the price for a poor run of form which has seen the club win only two of their first seven games of the campaign.
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