Pellegrini has signed a three year deal, a year longer than originally reported, according to 24 Horas in Chile.
However, sorting out a few transfers before wheeling the new manager out sounds like a wise move from Manchester City.
There are claims in Chile (Soy Chile) and Spain that Pellegrini wanted his fellow countryman Alexis Sanchez, and Manchester City were working on this deal behind the scenes, but the Barcelona player has decided to stay at the Spanish club.