Newborn princess named Charlotte Elizabeth Diana

Kate, Duchess of Cambridge holds her newborn baby princess,as she poses for the media as she leaves St. Mary's Hospital's exclusive Lindo Wing, London, Saturday, May 2, 2015. (AP / Kirsty Wigglesworth)

Prince William and the Duchess of Cambridge have named their new daughter Charlotte Elizabeth Diana.

The announcement was made Monday, two days after the princess was born at London's St. Mary's Hospital.

Kensington Palace confirmed in a tweet that the baby will be known as Her Royal Highness Princess Charlotte of Cambridge.

William and Kate introduced their newborn to the world Saturday evening, as they left the hospital just 12 hours after the duchess checked in. Charlotte was born weighing eight pounds, 3 ounces (about 3.7 kilograms).

The name appears to be a nod to various members of the royal family, royal commentator Richard Berthelsen told CTV News Channel.

Charlotte is the feminine form of the name Charles, Elizabeth is the name of the baby's great-grandmother, Queen Elizabeth II, and Diana is the name of William’s mother, the late Princess of Wales.

This is the couple's second child. Their first child, George, was born on July 22, 2013.

The princess is the fourth in line to the British throne, after her grandfather Prince Charles, her father Prince William and her older brother Prince George.

Charlotte a frontrunner

Britain's bookmakers had been taking bets on what the baby would be named for weeks leading up to her birth. For weeks, Alice was the clear frontrunner, but recently Charlotte took the top spot.

Bet-maker Paddy Power was giving 10 to three odds that Charlotte would be the chosen name as of Saturday. Alice was given four to one odds, and Elizabeth was given seven to one odds.

"Charlotte has very little form in this company, having been a royal name winner just once before in Britain in 1761," the bet-maker said in a blog entry.

By comparison, Elizabeth had real royal credentials, having been a "seven-time royal name winner and Queen in 1558 and 1952," the post said.

PaddyPower is now taking bets on who will serve as Charlotte’s godparents.