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Unai Emery left his position as Villarreal coach to take charge of English club Aston Villa on Monday.
It will be Emery's second spell in the Premier League, having coached Arsenal in 2018-19.
Emery replaced Steven Gerrard, who was fired last week after a year in charge.
The former Arsenal boss Emery will take over at Villa on 1 November after work permit formalities are completed.
"Aston Villa is delighted to announce the appointment of Unai Emery as the club's new head coach," Villa said in a statement.
"Unai will take over from November 1st after his work permit formalities are completed."
Emery, who replaced Arsene Wenger at Arsenal in 2018, returned to Spain and has been in charge of LaLiga side Villarreal since July 2020 after signing a three-year deal.
Spanish media reported that Villa paid the release clause to get Emery's signature.
He has also managed at Paris St Germain, winning the league once and the French Cup twice.
Villa sacked Gerrard last Thursday after the Midlands club collected just nine points from 11 games. Coach Aaron Danks was appointed caretaker boss and Villa beat Brentford 4-0 over the weekend in his first game in charge.
Villa are 14th in the standings with 12 points and next travel to fourth-placed Newcastle United on Saturday.
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