The winger becomes the club’s third signing of the summer.
Villa have sealed a loan swoop for Chelsea winger Alejandro Garnacho.
The 22-year-old has joined in a season-long deal which includes a conditional obligation to buy.
Garnacho has agreed a four-year contract, which will come into force should the conditions be triggered.
The potential fee is believed to be similar to the £40million which saw him move to Chelsea from Manchester United last summer.
Garnacho becomes the club’s third signing of the transfer window, after midfielders Johan Manzambi and Joao Gomes.
His arrival comes in the same week Villa sold Morgan Rogers to Chelsea in a £117million British record deal.
Boss Unai Emery is a long-time admirer of Garnacho and wanted to sign the Argentinian last year when he was still at Manchester United.
The player moved to Chelsea instead but after a difficult year at Stamford Bridge, in which he scored just one Premier League goal, he is now headed to Villa.
Adding a winger was a priority for Emery at the start of the summer and he believes Garnacho, despite his recent struggles, has the potential to make a major contribution.
Villa had already added midfielders Johan Manzambi and Joao Gomes to their ranks and are targeting AC Milan left-back Pervis Estupinan as a replacement for Lucas Digne.
The latter is on the brink of joining Paris Saint-Germain after the Champions League winners triggered his £8m release clause.