RB Leipzig have announced that Julian Nagelsmann's successor will be Jesse Marsch after the American agreed a two-year contract until 2023 that will start next season.

The 47-year-old replaces Bayern Munich-bound Nagelsmann and returns to Leipzig from Austrian sister club Red Bull Salzburg after an initial spell as Ralf Rangnick's assistant in Germany.

Nagelsmann's departure and Marsch's arrival will come into effect from July 1 and Leipzig CEO Oliver Mintzlaff emphasized that the man from Racine, Wisconsin, was always the Bundesliga title hopefuls' first choice.

"In Jesse, we have been able to recruit our main head coach target and quickly fill the most important position in the sporting side of the club with a top coach," he said in a statement. "Jesse has been part of the Red Bull football group for over six years now and has done incredible work in all his roles so far, constantly developing step-by-step.

"It is of course a great advantage that he already worked for a year at RB Leipzig. Jesse knows the club, the city of Leipzig and, above all, the club and playing philosophy. Alongside his qualities as a coach, Jesse is characterized above all by his positively ambitious style, which he uses to motivate and engage the people and around the club.

"We are looking forward to working with Jesse and to continuing our successful path with him."

During Marsch's time with Leipzig back in 2018-19, the team finished third in the Bundesliga and also reached the DFB Pokal final.

He has also coached Red Bulls' New York franchise in Major League Soccer and won the 2015 Coach of the year award.

Marsch is also the first American to lead a team in the UEFA Champions League.