"I am very, very happy to be joining Manchester City," Danilo told City's website (mancity.com).
"There has been strong interest from other clubs, but it has always been my ambition to play for Pep Guardiola. As soon as I heard of his interest, I knew immediately I wanted to be a City player.
"I can't wait to get started and I'm looking forward to getting to know my new teammates over the coming weeks."
British media reports claimed the Brazilian joined City for a fee of around 26 million pounds ($33.78 million), making him manager Guardiola's second major defensive signing in the current window following Kyle Walker's arrival earlier this month.
Danilo, who previously won two league titles in four years at Portuguese club FC Porto, will join his new team mates in their pre-season U.S. tour and could face his former club when City play Madrid on Wednesday.
(Reporting by Aditi Prakash in Bengaluru; editing by Amlan Chakraborty)
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