Israel has finalised the purchase of a sixth Dolphin-class U212 submarine from Germany, an Israeli official said.
"It's finalised...we will be getting another submarine from Germany, with payments spread over several years," the official added.
Details regarding the payment of the submarine and whether Germany would arrange a discount have not been disclosed.
The Israeli Navy currently operates three Dolphin-class submarines with another two currently under construction in Germany that are expected to be delivered in 2012 and 2013 respectively.
The diesel-powered Dolphin submarine fleet expansion had been held up over pricing issues with Germany.