The 22-year-old striker has shown flashes in a career hampered by knee injuries thus far.
Caraglio, 22, joins from Argentinean club Rosario Central, where he played since 2007. In 49 top-flight appearances with the club, Caraglio scored 11 goals. He missed much of the 2009-10 season while rehabilitating a ligament injury in his knee.
“We’re pleased that Milton is joining us as our first Designated Player,” Michael Burns, the Revolution's Vice President of Player Personnel, said. “He is a talented player who has played against some of South America’s best competition, and we’re looking forward to getting him integrated into our squad as soon as possible.”
Caraglio had a trial in 2010 with West Ham United, then of the English Premier League, but his knee injury scuppered the move as he failed his medical.
He was also called into a domestic-based Argentina national team squad in 2009, but an injury forced him out of that side as well. He has yet to be capped internationally.
“He’s an exciting player,” Revolution head coach Steve Nicol said. “He has a good touch and likes to get forward. We’re looking for Milton to get involved in our goal-scoring, both with him scoring goals and helping get his teammates involved.”
Caraglio, who will wear the number nine, is expected to join the Revolution for training on Thursday, and will be added to the team’s official roster upon the receipt of his International Transfer Certificate.