Town have confirmed the season-long loan signing Sweden international Jens Cajuste from Napoli.
Last week, the 25-year-old had been near to joining Brentford on a loan with a view to a £10 million permanent signing, however, that switch broke down, reportedly after the Gothenburg-born midfielder failed a medical.
Subsequently, the Blues agreed a deal with the Serie A side and he underwent a medical on Friday before watching Saturday’s Premier League opener against Liverpool from the directors’ box with his family.
Town are understood to have paid a €1.5 million (£1.3 million) loan fee with a mandatory €12 million (£10.2 million) buy-out should the Blues stay up.
"This feels great and I’m happy to be here,” Carjuste, the Blues’ ninth signing of the summer, told TownTV. "It took a little while with the negotiations but I’m finally here and I’m very excited.
"I’ve had great conversations with the manager and this seems like a very interesting project. It’s an ambitious club and a team that is progressing.
"I’m a player that works hard and I want to contribute inattack and defence. I want to play as much as possible and I’ll be looking to get some good tackles in!”
Blues boss Kieran McKenna added: "We’re really happy to add Jens to the squad.
"He gives us another different profile to our midfield and puts us in a strong position in that department.
"Jens has a lot of experience across top leagues in Europe and in international football. He brings good physical and technical qualities to the squad and he is a very dedicated and committed professional.”
Cajuste, who has won 23 full caps, started his career in Sweden with Örgryte IS before moving on to Denmark’s Midtjylland and then Reims in France.
He joined Napoli for €12 million (£10 million) a year ago, signing a five-year deal. Last season, Cajuste, who has featured in the Champions League with Midtjylland and Napoli, recorded two assists in 26 appearances in Serie A without scoring.
Premier League clubs are allowed only two domestic loans at one time, four over the course of a season, as well as six international loans, although with exemptions relating to players under-21.
Cajuste takes the number of players who qualify for the 25-man Premier League squad to 25, plus Liam Delap, Omari Hutchinson and Cameron Humphreys, who are under 21.
It's likely Freddie Ladapo and perhaps one or two others, such as George Edmundson, Cieran Slicker, Ali Al-Hamadi or Marcus Harness, may move out on loan in order to free up more space.
Town’s last Swedish player was striker Jonas Axeldal, who was a member of the squad which won promotion to the Premier League in 2000.
The Blues’ only other Swede was loanee forward Niklas Gudmundsson, who was in the side which reached the play-offs in 1996/97.