Hull agree cash deal as Pearson joins Foxes

The 48-year-old returns to the Foxes having signed a contract that lasts until the end of the 2013/2014 season, replacing the sacked Sven Goran Eriksson, after a compensation package was agreed with npower Championship rivals Hull.

He will be joined at the King Power Stadium by assistant managers Craig Shakespeare and Steve Walsh.

During his last spell, Pearson steered Leicester to the League One title in 2009 before they reached the 2010 Championship play-off semi-finals, losing to Cardiff on penalties.

But Pearson, who quit for Hull in June 2010, made it clear he wanted to return to the Foxes despite also turning around the fortunes of the Yorkshire club.

Pearson said: “Craig, Steve and I are all extremely excited to be rejoining Leicester City, working with the players and working closely with the board of directors to achieve the club’s aspirations.”

Hull moved swiftly to confirm the appointment of Nick Barmby as caretaker manager.

The Hull-born 37-year-old agreed to take over after former Tigers boss Warren Joyce opted to stay as reserve-team manager at Manchester United.

A club statement read: “Following the departure of Nigel Pearson to Leicester City, the club is delighted to announce that Nick Barmby has agreed to take on the role of caretaker manager for the foreseeable future.

“Having overseen training over the course of the last week, Nick’s first game in charge will be this Saturday’s trip to Derby County. The club would like to stress that there is no present interest in pursuing alternative managerial candidates at this time.

“Nick will be assisted by Stuart Watkiss as first-team coach, Seamus McDonagh as goalkeeper coach and a new addition, Darren Robinson joining us from Nottingham Forest.

“Nick will also be joined by a new assistant manager in the near future.”

Pearson will take charge of training for the first time today at Leicester.