Ex-Barcelona, Duisburg and Dusseldorf defender joins Newcastle Jets
The 29-year old Brazilian is set to land in Australia at the start of July and the club is excited about his imminent arrival.
"It is always exciting to introduce a player with flair to our fans," chief executive Robbie Middleby said.
"This is unique for a defender but Tiago is confident on the ball and has a special talent that brings together Brazilian flair with German efficiency.
"The addition of Tiago, along with Jason Culina, Byun Sung-Hwan, Chris Payne and our many young new stars, leaves just one more position to fill - a goalscoring marquee striker."