Lyon have signed Paqueta from Milan for a reported €21m plus a percentage of his sell-on fee.
The deal had been done yesterday and he passed his medical this afternoon, signing the contract on Wednesday evening.
“It was important for us to get a great signing and Lucas is that," said President Jean-Michel Aulas in his press conference.
“We want to build a strong team that this move is a very important signal for the club. We are happy to have Paqueta with us.
“He arrives from Milan for €20m. Lucas already knows some of his new teammates and we are certain he'll settle in well. It's a great transfer."
The 23-year-old moved from Flamengo to Milan in January 2019 for €38m plus bonuses.