The Bavarian giants' hopes of signing Manchester City'sLeroy Sane were scuppered last week following the news he will be out for six or seven months after suffering an anterior cruciate ligament injury.
He's also had a successful worldwide career with Croatia, reaching the World Cup final past year in Russian Federation.
"Ivan will help us immediately with his long-term experience at the worldwide top level. We want to go on the attack, not only in the Bundesliga and the DFB Cup, but also in the Champions League", he told the club's website.
'He has good technique and he's flexible in attack.
"I am sure that Ivan will integrate quickly as he already knows the Bundesliga and Niko Kovac", added Salihamidzic.