Huddersfield have triggered a clause to make Florent Hadergjonaj's loan move from FC Ingolstadt permanent from July.
The 23-year-old Switzerland international has made 19 appearances since joining on loan in August, doing enough to persuade David Wagner he has a long-term future in West Yorkshire.
"We knew that Flo would offer great competition for the right-back position and I think his first seven months at Huddersfield Town have shown why he is so highly-rated in Germany," Wagner told the club's official website.
"As we expected, his characteristics have been perfect for our style of play and his performances have really improved game-by-game for us. He is also a great guy who has fitted into our dressing room perfectly.
"We must also remember that he is only 23 years old, so he has plenty of space to improve further too. That's very exciting for everyone at the club."
Hadergjonaj has agreed a three-year deal with the Terriers, which will begin when the transfer window opens on July 1. The deal includes a club option for a further season.
The transfer fee for the deal is undisclosed, which Huddersfield said was at the request of Ingolstadt.