The club have signed for France, who are heading to Spain after scoring more than 20 goals in each of his two full seasons with Lyon.
Atletico Madrid have finalized the signing of Moussa Dembele, with the French forward joining the Spanish side on an initial loan deal with an option to buy.
Diego Simeone’s side reached an agreement to sign Dembele earlier in the week, with the man going ahead with a medical on Monday.
The clubs have been awarded a contract to loan Dembele to Spain with a buyout option for € 33.5 million (£ 30m / $ 41m) with a potential of € 5 million (£ 4.5m / $ 6m) in bonuses. Atletico Madrid will also pay a € 1.5m loan fee as part of the deal.
Dembele has spent the last two and a half years with Lyon, having first signed for Celtic for € 22 million (£ 20m / $ 27m) in the summer of 2018.
The French forward has scored 45 goals in 108 appearances for the Ligue 1 side during that time, and helped the French club to the Champions League semi-finals in 2019-20.
However, with rumors of a move going through, Lyon sports director Juninho has admitted that Dembele ‘s motivation levels have fallen in recent months.
He said Telefoot: “Moussa thinks this is the time for teams to change, that he has lost some motivation. This was not something we have seen before, I really like it. I ‘think Moussa has found an agreement with Atletico. “
Dembele has scored just once in 16 appearances in this campaign, having reached the 20-goal mark in each of his first two seasons with Lyon.
The French club have already closed in for another forward, signing Islam Slimani from Leicester.
Slimani head to France after a trio of loan spells away from Leicester, having played for Newcastle, Fenerbahce and Monaco a few seasons ago.
The Algerian, who has appeared just once for Leicester this season, scored nine goals in 19 goals for Monaco in 2019-20.
Lyon currently sit top of Ligue 1, one point ahead of both Paris Saint-Germain and Lille.
Atletico Madrid, meanwhile, will also sit first in their league with Dembele coming together, with Simeone and co currently holding up four points above Real Madrid with two games in hand.
After taking down Sevilla on Tuesday, Atletico Madrid have more than a week off before hosting Eibar on 21 January.