The former East Bengal goalkeeper was on trial at the European outfit from mid-May and will now join them as a squad member.
Gurpreet Singh Sandhu became the fifth Indian footballer to earn a professional contract in Europe after he signed a three-year deal with Norwegian side Stabaek.
"A proud day for my country and for me as I am pleased to announce I have signed for @stabaekfc #HappyIndependenceDay," a tweet by Gurpreet read.
Only minutes later, he confirmed the length of the contract as well.
"It's a three-year deal. I feel great and proud. I just want to follow the footsteps of our footballing ancestors Mohammed Salim, Bhaichung Bhutia, Sunil Chhetri and Subrata Paul who have made it big there," he told Goal, taking names of the four players who had plied their trade in Europe before.
He also gave credit to John Burridge, the former Manchester City goalkeeper for helping him throughout his career.
"I want to thank John Burridge who has supported me all through and want to thank the coaching staff at Stabaek who saw me as a player they can use," he further added.
When asked about why it took so long for him to sign the contract, Gurpreet stressed that he is happy with the end-product.
"Good things take.time to happen. Just happy that it happened," he told.
The Punjab lad has played for East Bengal and Pailan Arrows in the past.