The 22-year-old, who has spent five years in Ukraine, will wear the jersey No.9.
Babatunde who turned down top teams that failed to meet his valuation disclosed that the conversation he had with manager Bohgdanovych Markevych swung the decision for him.
“There were discussions with nearly all the top clubs,” Babatunde said.
“I have played against Dnipro in the past and he has wanted me ever since but the teams I played for (Krybass and Volyn) never wanted me to go,”
“Teams from France, Spain and Germany but none of them were ready to meet my valuation and in the end Dnipro came out on top.
“I spoke to Markevych and he totally convinced me. He gave me the feeling that I was very important for him. Not only as a player but also as a person – and then it was clear that I would sign for Dnipro.”
Babatunde, who is expected to make his official debut for the club in the Ukrainian League against Shaktar Donetsk, also admitted that the prospect of featuring in the Europa League was another reason he joined.