Balotelli, 25, arrived in Milan early on Tuesday to finalise a move back to San Siro from Anfield for the 2015-16 campaign, and both clubs have now confirmed the deal.
Speaking to reporters outside the La Madonnina clinic before the deal was concluded, the Italy international said: "I'm happy to be back.
"I'm fit, I just need to train with my team-mates. I don't want want to talk too much, I'm only focused on working hard because I want to have a good season."
Marco Materazzi believes Balotelli will thrive at Milan under the leadership of Sinisa Mihajlovic, insisting he will have a better relationship with the Serbian than he had with Brendan Rodgers at Liverpool.
Balotelli - who scored just one Premier League goal last season - left Milan for Liverpool in a deal worth £16 million last August.
The forward first joined Milan in January 2013 and went on to make an immediate impact, netting 12 goals in 13 league appearances in his first campaign there, before following up with another 14 strikes the subsequent term.
Milan have spent the summer rebuilding after their 10th place finish in Serie A last term, and targeted Balotelli after failing to secure another ex-player in Zlatan Ibrahimovic from Paris Saint-Germain.
The Azzurri forward has already been warned by Milan CEO Adriano Galliani that he is being given a final chance to prove his worth.
"Balotelli convinced us to get him back," he said. "He is aware that we are giving him his very last chance."
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