Bayern Munich have appointed Vincent Kompany as their new head coach on a three-year deal after agreeing a compensation package of about £10m with Burnley. The 38-year-old replaces Thomas Tuchel after he departed at the end of the season.

Kompany, who spent two seasons at Hamburg before joining Manchester City in 2008, speaks fluent German and his philosophy is said to have impressed the Bayern hierarchy. However, his appointment represents a bold move after Burnley’s relegation from the Premier League.

Having enjoyed an outstanding first season at Turf Moor, winning the Championship with 101 points, however, was only able to win five games in his maiden Premier League campaign as a manager.

Upon his signing, the former Manchester City captain and four-time Premier League winner told the club's official website: "I'm looking forward to the challenge of FC Bayern. It's a great honor to be able to work for this club - FC Bayern is an institution in international football.

"As a coach, you have to stand for who you are as a person: I love having the ball, being creative - and we also have to be aggressive on the pitch and courageous.

"I'm now looking forward to the most basic things: working with the players, building a team. When the foundation is in place, success will follow."

Bayern sporting director Max Eberl said: "In our discussions with him, we were immediately on the same page. He made it clear to us how much the job at FC Bayern appeals to him and that he absolutely wants to take it on.

"Vincent Kompany is hungry and has everything he needs: Even as a player, he was a leading figure in top international football and is also making progress as a coach. We would like to see more continuity in this position."

Bayern sporting director Christoph Freund said: "Vincent Kompany is a type of coach who fits in very well with FC Bayern's playing philosophy and identity: his teams want the ball, want to play dominant and high-intensity football.

"He is a young, very ambitious coach who brings a lot of international experience, has his finger on the pulse of the players and knows exactly what should happen on the pitch. He can and will give our team an enormous amount."