The 26-year-old is, arguably, the find of the Premier League season after hitting 16 goals in 28 appearances for the Liberty Stadium side.
Michu rewarded the Swansea boss with two goals in his first competitive appearance in the 5-0 win at Queens Park Rangers and he has since gone on to forge his name on the English top flight in style.
But the new contract for Michu is a notable boost for Swansea as a club and a tribute to Laudrup.
The Welsh team made their Premier League bow last season, finishing a creditable 11th in the table under former manager Brendan Rodgers.
With Rodgers departing to Liverpool in the summer, Swansea supporters could have been forgiven if they were thinking of a troubled season ahead under Laudrup with Scott Sinclair leaving for Manchester City and Joe Allen heading to Anfield.
In fact, the Daily Mail reported a fractious relationship between manager and some players in October.
However, the Swansea squad have been motoring toward success so far this season and are currently ninth in the Premier League table and have reached the League Cup final.
Michu, though, remains the catalyst for the season's success with his excellent goalscoring record in the top flight.
Michu's arrival at the club, alongside the captures of Chico Flores from Genoa and the on-loan deal for Jonathan de Guzman from Villarreal have acted as a catalyst for established Swansea players such as Angel Rangel this season and ensured the transition from Rodgers to Laudrup was seamless.
Michu's new contract merely underlines that the Swans are about to take flight under Laudrup.