The 29-year-old former Sevilla skipper told the club's website: "I'm very happy to be here with Leicester City and I'm looking forward to experiencing the Premier League with my new team-mates next season.
"Everything about this club seems good and it's been great to meet my new team-mates. I've already spoken with them about the city and the club so I can't wait to get started."
Leicester boss Craig Shakespeare added: "I'm absolutely delighted that Vicente has joined us. He's player with such a good pedigree from his time in Spain with Sevilla and he adds some really strong competition to our squad."