Hamburger SV has appointed former Bayern Munich player Oliver Kreuzer as the club's new sporting director to replace Frank Arnesen.
The Bundesliga club says on its website that the 47-year-old Kreuzer has agreed to a three-year deal and will assume duties in the coming days.
Hamburg says Karlsruher SC, Kreuzer's former club, agreed to its compensation offer on Sunday morning. Kicker reports Hamburg is paying ?500,000 ($650,000) to the second-division club, which initially demanded one million euros.
Kreuzer played for Karlsruher SC before switching to Munich in 1991.
Arnesen left Hamburg by ''mutual agreement'' last month, with the club citing financial considerations and differing views on a long-term strategy.
Hamburg finished seventh in the Bundesliga last season, just missing out on European qualification.
