The third attacker named by police is an Italian-Moroccan arrested past year on suspicion of trying to reach Syria, according to Italian media reports.
The Metropolitan Police say the body was found Tuesday downstream from the bridge.
An Italian investigative source said Zaghba was a Moroccan-Italian whose mother lived in the northern Italian city of Bologna.
London police have identified two of the three men believed to be responsible for a terror attack in the British capital on Saturday, which killed seven and injured dozens more.
Police had been searching for Xavier Thomas, a French man who had been missing since three assailants ploughed a rented auto into crowds on London Bridge and attacked people in Borough Hall with knives on Saturday.
The three terrorists carrying out Saturday night's attack were shot dead by police within eight minutes of the alarm being raised.
"However, there was no intelligence to suggest that this attack was being planned", they said, adding.
French president tries to calm Qatar tensions, boost profile
French president Emmanuel Macron waves during an inauguration ceremony at the Elysee Palace in Paris, France, on May 14, 2017. Macron's rivals fear the elections will produce a virtual lack of opposition to counter an all-powerful president.
If confirmed, the total number of deaths from the weekend attacks on London Bridge and Borough Market would be eight, including Canadian Christine Archibald.
The police have since been raiding locations in East London and Essex detaining 12 people, mostly women.
Redouane was 30 and "claimed to be Moroccan and Libyan", police said. He was known to security services and even featured in a television documentary entitled "The Jihadis Next Door".
But Butt, 27, was not the typical resident of the East London neighborhood of Barking.
At any one time there are around 500 active counter-terrorism investigations concerning 3,000 people of interest. The 48 injured included people from Britain, France, Spain, Australia and New Zealand.
Le Drian said a third French citizen remained missing following the attack. They said one arrest had been made on Tuesday.
"I managed to escape him, but my friend Alexandre did not have that chance", he said.
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