Negotiations were concluded swiftly after the 25-year-old travelled from the north-east to have a medical at the club's Melwood training ground on Thursday.
The Spaniard is believed to have cost the Reds in the region of £6million."This is one of the happiest days of my life," he told liverpoolfc.tv.
"I have come to one of the biggest clubs not just in England, but in the world. I am really, really happy."
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