On Monday, the Detroit Red Wings announced they have signed forward Jonatan Berggren to a one-year contract.

The deal will carry an $825,000 cap hit for the 2024-25 season.

It is a little bit of a pay cut for Berggren, as the Swedish forward was coming off his entry-level contract with an AAV of $925,000. The 24-year-old was a restricted free agent, and had arbitration rights heading into this past offseason.

While the Red Wings still have to sign other notable RFAs, Lucas Raymond and Moritz Seider, many wondered where Berggren fit into the team’s plans. He was called up to Detroit in March of this past regular season, but only played three games, spending a considerable amount of time as a healthy scratch. Rumors circulated that Detroit was willing to hear offers on Berggren, but no trade conversations were ever reported.

Truth be told, it has been made public that the Wings think very highly of Berggren. General manager Steve Yzerman has stated that he hopes Berggren can make an impact at the NHL level, a note that Berggren himself has admitted that he can be.

In 2023-24, Berggren scored two goals and six points with Detroit. He was a big-time player with the Red Wings’ American Hockey League affiliate, the Grand Rapids Griffins. The 24-year-old led the team with 56 points in 53 games, and was a key part in helping the Griffins make it to the Central Division Final.

That all came after a 2022-23 season where Berggren spent most of the season in Hockeytown. In 67 games with the Wings, he notched 15 goals and 13 assists, with his 28 points placing him ninth on the team in scoring.

In 79 NHL games, Berggren has scored 17 goals and 17 assists for 34 points. The Skellefteå product has scored 127 points in 130 AHL appearances.

The Red Wings still have plenty of room to work with before the season starts. According to CapWages, Detroit has under $17 million in cap space, with 41 of a possible 50 contracts signed for the 2024-25 season.