Sir Jim Ratcliffe, Chairman and Chief Executive of INEOS, said his company was delighted to take on the responsibility of running such a professional team.
”Cycling is a great endurance and tactical sport that is gaining ever more popularity around the world," he said.
"Equally, cycling continues to mushroom for the general public as it is seen to be good for fitness and health, together with easing congestion and pollution in city environments."
Brailsford: 'Great News For The Team'
Sir Dave Brailsford, Team Principal of Sky, said the announcement is great news for the team, for cycling fans, and for the sport more widely.
"It ends the uncertainty around the team and the speed with which it has happened represents a huge vote of confidence in our future," he said.
"In Sir Jim Ratcliffe and INEOS, I know that we have found the right partner whose vision, passion and pioneering spirit can lead us to even greater success on and off the bike. It heralds the start of a hugely exciting new chapter for us all as Team INEOS. I would like to personally thank Jeremy Darroch, who over a decade ago had the vision to back us when others thought we were crazy. His support for the team through thick and thin has been remarkable and everyone at Team Sky thanks him for all he has done for our sport.”