The former Red Devils striker replaced Steve Cooper at the King Power Stadium on Friday, signing a deal until 2027.
It comes after a four-game spell as interim manager at Old Trafford, following the sacking of Erik ten Hag, before he left when Ruben Amorim was appointed last month.
Van Nistelrooy, brought in by Ten Hag as an assistant manager in July, oversaw three wins and one draw during his four-game stint in charge at United and was initially upset over his exit.
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