Falkirk announced the departure deal early this evening.
“We made Craig an improved contract offer to retain his services however, it was evident from a very early stage in our conversations that he wanted to challenge himself elsewhere.
“It is important that we have players in our squad who want to be here and our summer recruitment drive continues at full speed to bring in those individuals.
“I personally would like to wish Craig the very best for the future and know that those views will be shared by everyone at the club and the Falkirk support.”
Sibbald had hinted strongly in the closing stages of last season that he would remain at the Bairns for the coming Championship campaign, and the club and player were engaged in a contract impasse last close-season with the Bairns holding out for a deal with a further year option for this term.
However the player, who has appeared more than 250 times in the navy blue and scored winning goals in Scottish Cup quarter finals and semi-finals in 2015 in the memorable run to Hampden, as well as another in a 4-3 semi-final defeat to Hibernian two years earlier, has now departed the team he grew up supporting, for a tilt at the top tier.