Striker Dwight Yorke chose Birmingham ahead of Celtic as he completed a move from Blackburn in the last major deal on transfer deadline day.
Yorke, 32, formerly of Blues' Midlands rivals Aston Villa, has signed for a "substantial but undisclosed fee".
"I greatly admire what (manager) Steve Bruce has achieved in his time at Birmingham," said Yorke.
"I believe it is a club which is going places and I very much look forward to being part of it."
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We made a fantastic offer but the lure of
the Premiership was too much
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Yorke has been handed a one-year deal
with the option of another 12 months.
Yorke was part of the Manchester United squad which won an unprecedented
treble in 1999, with Premiership, FA Cup and Champions League winners' medals in
his collection.
He cost the Red Devils £12.6m when he joined the club from Aston Villa
in August the previous year.
But he left the club just over two years ago in a £2m deal to link up
with fellow ex-United striker Andy Cole.
Celtic had been looking to take Yorke to Glasgow for the remainder of his
contract with Blackburn.
"We made a fantastic offer but the lure of
the Premiership was too much and Dwight has chosen to go to Birmingham City for
football reasons," said a Celtic statement.