Tom Cruise and Katie Holmes reach divorce settlement

‘The case has been settled and the agreement has been signed,’ he said.

‘We are thrilled for Katie and her family and are excited to watch as she embarks on the next chapter of her life.

‘We thank Tom’s counsel for their professionalism and diligence that helped bring this speedy resolution.’

Earlier in the day, the pair released their first joint statement asking for privacy: ‘We are committed to working together as parents to accomplish what is in our daughter Suri’s best interests. We want to keep matters affecting our family private and express our respect for each other’s commitment to each of our respective beliefs and support each other’s roles as parents.’

The declaration came after reports of a temporary truce being called while their lawyers struck a deal.

The Mission: Impossible star, 50, made it crystal clear that there would be no agreement without him having significant contact with his daughter.

Six-year-old Suri was the ‘deal-maker and the deal-breaker in his divorce with Katie’, according to TMZ.

Cruise had insisted the settlement provided ‘meaningful, significant contact’ with his daughter. ‘She is the primary concern in his life,’ sources told the celebrity website.

Tom’s long-time lawyer, Bert Fields added: ‘The Tom Cruise-Katie Holmes case has been settled with a signed agreement. Tom is really pleased we got there, and so am I.’

For the past few days, lawyers for both sides were holding marathon meetings trying to negotiate the terms of the settlement and keep it out of court.

There is no word yet on whether the 33-year-old Batman Begins star will get any of Cruise’s £180million fortune or whether she was awarded sole custody of Suri.

Holmes took everyone by surprise when she filed for divorce a fortnight ago, ending their five-year romance.