The 21-year-old talent, known as 'The new Cristian Chivu', made a good impression during his 11 starts on loan last term.
And Radu has been rewarded with a full-time deal after Lazio agreed a £4.3m fee with Dinamo Bucharest President Vasile Turcu.
The the Romanian press have also been reporting that Lazio are talking with Radu's former club about the possibility of signing 23-year old defender Cosmin Moti.
The Rome-based club are looking to agree on a loan deal for a year, before making any permanent move.
Meanwhile, Lazio have announced that they have extended the co-ownership agreement with Bologna for midfielder Mourad Meghni.
The French prospect will remain at the Stadio Olimpico next term.
Source: C4 Football Italia
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