The former 'X Factor' contestant was booted from Simon Cowell's Syco label in 2014 but has started a new chapter, having put pen to paper on an international contract.
In a series of tweets, he wrote: "After a crazy 15 months I'm so happy to be able to say that I've signed a worldwide deal with a major label and releasing album 2 in 2016.
"I want to say a huge thanks first of all to my incredible fans for the love and support you have shown me. Without you.. God knows what.
"Thanks to my amazing publishers @sonyatvpubuk my new management team @hallornothing @JGGMedia you have helped me turn it around xxx. Excited about the future! Thanks to @columbia_de @ColumbiaRecords can't wait to finish this album with you. (sic)"
The 27-year-old singer reportedly took some time out of the spotlight to "calm down and take stock".
A source told Traps Europe: "James signed a new deal to Columbia Germany on Thursday. He needed time to take away from the spotlight to calm down and take stock, which is exactly what he's done.
"Columbia Germany is the second biggest label internationally and he's signed a worldwide deal."