Andersson joined FC Midtjylland from BK Häcken in the summer of 2018 and made 221 appearances for the previous Danish champions.
Andersson quickly developed into a talented and committed defender who left a significant mark on the team.
"Joel has been an invaluable player for FC Midtjylland during his time here. He is a highly skilled and adaptable player who has consistently made an impact in games or when we needed him to take on different roles. He has contributed to the club's progress, and he departs with much-deserved recognition," says sporting director Kristian Bak.
Andersson netted six goals and provided 28 assists while in Herning. He played a vital role in helping FC Midtjylland secure two Danish championships and two cup titles, and participated in both Champions League and Europa League group matches.
"I have played numerous matches for FCM, and when I reflect on my time, the Champions League group stage games and the playoff against Slavia Prague stand out as particularly special moments. It was magical," says Joel Andersson.
"The championships were also extremely significant - some memories will remain with me for the rest of my life. The club's ambitions and drive to win every match have been a tremendous motivation for me. At FC Midtjylland, there are always high expectations - you must perform every time, and I have valued that," says Andersson.