The Bundesliga side, currently in sixth place, have signed the Brazil international on a temporary deal which will see him join from Ligue 1 outfit Lyon until the end of the term
Schalke have completed the signing of Lyon winger Michel Bastos on loan for the rest of the season.
Goal.com exclusively revealed last week that the two clubs were in talks over the possible transfer of the Brazil international and the move has now been confirmed.
Schalke sporting director Horst Heldt told the club's website: “We are very happy that Michel Bastos has signed for us.
"He is an experienced international player who has special abilities and can help us immediately. He is also eligible to play in the Champions League. "
Bastos has featured 12 times in Ligue 1 this season, scoring five goals in the process.