Leicester had made Graham Potter a top target and held talks but chairman Aiyawatt Srivaddhanaprabha was ultimately unconvinced that the former Chelsea and Brighton boss was fully sold on the post.
Cooper has signed a contract until 2027 and is likely to have immediate obstacles to overcome.
Leicester face a possible points deduction after they were charged last season with breaking spending rules, and are likely to need to sell players this month to ensure no further issues, with homegrown midfielder Kiernan Dewsbury-Hall a possible departure.
Though the rivalry between Forest and Leicester is not as bitter as between Forest and Derby, less than 30 miles separate the cities and the reception for Cooper will be interesting when the sides meet at King Power Stadium on October 26.
This will be Cooper’s second job in the top flight after he led Forest to promotion in 2022 and kept them up the following season. He was replaced by Nuno Espirito Santo after a dire run of results but the club were still outside the drop zone when Cooper departed.
Cooper had turned down the chance to speak to Burnley and was also the top target of the Welsh FA should they sack Rob Page, but the 44-year-old always intended to return to club football.
Leicester found themselves hunting for a manager after Enzo Maresca, who led them back to the Premier League last term, was lured away by Chelsea.
Cooper finds a different club from the one that won the FA Cup in 2021 and twice came within a whisker of qualifying for the Champions League under Brendan Rodgers.
There will be little room for manoeuvre in the transfer market and when he arrives for the start of pre-season in early July, Cooper may find a squad weaker than the one that won promotion, with player sales necessary.
Yet after six months away from the game, the Welshman is focused on resuming his career and is confident he has the tools to overcome these hurdles.
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