"When they told me Steven Gerrard wanted to take me, I told my agent I'd get my shoes on and run to Scotland!" Katic told the Rangers website.
"It is a big pleasure to be here as this is one big club one of the biggest in Europe and in the world."
The 21-year-old will be the fourth Croatian to play for the Glasgow-based club after Dado Prso, Nikica Jelavic and Niko Kranjcar.
(Reporting by Anirban Paul in Bengaluru, editing by Ed Osmond)
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