After weeks of speculation, Red Bull New York 1 visa approval and his International Transfer Certificate, as well as passing a league physical.
Holgersson, 26, joins New York from Swedish club Helsingborg where he led the back line to help the club become the first team in Allsvenskan history to win the treble.
At 6-foot-3, Holgersson has the size and physicality to compete in MLS and is expected to immediately slide into a starting role either alongside or in place of Tim Ream should the American youngster sign for Bolton in the English Premier League.
"Markus is a strong, experienced defender who will bring immediate stability and leadership to our back line," Red Bulls GM Erik Soler said in a press release. "Over the offseason, one of our priorities was to add more physical players and Markus certainly fits that bill. We are excited that he has decided to join New York."