Woodman had been linked with a move to Pittodrie as the Dons looked for a replacement for Joe Lewis, who was sidelined for a lengthy period after sustaining an injury in the 2-0 loss to Rangers earlier this month.
Woodman spent time on loan at Kilmarnock last season, making 14 appearances for the Rugby Park side.
The 20-year-old was on the bench for Newcastle United’s English Premier League clash with Burnley, with the relevant paperwork completed after the match.
He was due to travel to Aberdeen on Thursday to meet his new team mates.
Woodman began his career at Crystal Palace before joining Newcastle in 2013. He was part of the England side that won the Under-20 World Cup last year.
As well as last season’s loan spell at Kilmarnock, Woodman has had spells on loan at Hartlepool United and Crawley Town.
Derek McInnes told Aberdeen’s website: “Freddie’s a fantastic young talent.
“I’m really looking forward to working with him. I was really impressed with him last season.
“I thought he got better and better at Kilmarnock. There were lots of clubs in for Freddie but his commitment and word to us meant a lot and we’re looking forward to getting him with us.”