When the versatile midfielder joined Wolves on a season-long loan in August 2018, the club had an obligation to sign the 24-year-old when the 2019 summer transfer window opened.
The Belgian international, who was on duty for his country in their Euro 2020 qualification campaign this summer, made 26 appearances for Wolves during his debut season at Molineux, scoring twice.
Following two outings in the Carabao Cup in August and September, Dendoncker had to wait another three months for his Premier League debut, coming on as a substitute in the 2-1 win over Chelsea at Molineux.
However, he has been ever-present member of Nuno Espirito Santo’s starting line-up in 2019, partaking in Wolves’ final 16 Premier League matches, and making appearances in all but one of the games as the team reached the semi-final of the FA Cup.
Kevin Thelwell, sporting director, said he was delighted with the impact the Belgian has made at Wolves after taking a short time to settle when he initially arrived at the club.
“He came in a bit later in the window and took time to settle and get used to the way in which we operate and play,” Thelwell said. “But since he broke into the team he’s been terrific.
“He’s very professional, very honest and very hard-working, so he fits the team perfectly. I believe a lot of the success we had in the second part of the season was down to a big contribution from him.
“There was always an obligation to turn Leander’s deal permanent, so we’re delighted it’s worked out the way it has. He has been a welcome addition to the group.”
Ahead of his move to Wolves last summer, Dendoncker stepped out almost 200 times for Anderlecht after coming through the club’s youth system, featuring in both the Champions League and Europa League for the Belgian side.
On the international stage, the midfielder made his Belgium debut in 2015 and played against England in the group stages of last summer’s World Cup – one of eight caps to date.