The Primera Division champions exercised a buy-back clause and will pay €3.25 million to sign Suarez, 22, who had been on the books at Barcelona B between 2013 and 2015.
A statement read: "FC Barcelona have decided to exercise the buy back clause for the player Denis Suarez, currently at Villarreal CF, which will see the player join the Club for the next four seasons with an option for a fifth depending on the number of appearances in the fourth season.
"FC Barcelona have deposited 3,250,000 euros for the right to buy back the player.
"The buy out clause for the players has been set at 50 million Euros."
The club added that he will undergo his medical on Tuesday and is due to sign his contract and be presented as a Barca player on Wednesday.
Suarez, who initially joined Barca from Manchester City, had a loan spell at Sevilla in 2014-15 before joining Villarreal last year.
He made 48 appearances for Villarreal, scoring five goals and providing 11 assists.
The Spain international had been linked with a return to the Camp Nou throughout the season and he said in March: "The possibility of returning to Barca is there and it's very difficult to say no to that. I've always wanted to play for Barca."
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