Argentina icon Maradona was out of work after leaving Ascenso MX side Dorados in June due to health reasons.

The 58-year-old's lawyer Matias Morla said on Wednesday there was an "80 per cent chance" of an agreement being reached, and the Superliga strugglers confirmed a deal had been struck on Thursday.

Sebastian Mendez was announced as Maradona's assistant after Gabriel Batistuta declined the role due to an impending ankle operation.

Maradona coached Argentina at the 2010 World Cup, where they reached the quarter-finals before being beaten 4-0 by Germany.

Prior to joining Dorados, the former forward had spells in charge of Al Wasl and Fujairah in the United Arab Emirates.

"In his last two teams [Maradona] managed to consolidate a clear and competitive playing style which led to him challenging for promotion to the highest divisions of their respective leagues," said a statement from Gimnasia.

"Welcome, Diego, to the most beautiful club in the world. We are happy to have you at Gimnasia."

Gimnasia sit bottom of the Superliga with just one point from their first five games this season.

Maradona's first game in the dugout will likely be at home to defending champions Racing Club on September 15.