STEVEN DAVIS is set to become the first arrival of the January window at Ibrox as he prepares to put pen-to-paper on a contract to clinch his return to Rangers.

The midfielder has agreed terms on an 18-month deal with the Light Blues that will include the option for a further one-year extension.

Davis has taken a significant pay cut to facilitate the switch as he gets set to move back across the border and end his time in the Premier League.

The Northern Irishman enjoyed a hugely successful spell with his boyhood heroes after being signed by former Gers boss Walter Smith in 2008.

He left four-years later to join Southampton and was an integral part of the Saints’ side for several seasons before falling down the pecking order under Mark Hughes this term.

New St Mary’s boss Ralph Hasenhuttl has opted not to stand in Davis’ way and the 34-year-old, who has made just six appearances for Southampton this season, will be allowed to leave the south coast on a free transfer.

He is now poised to clinch an emotional return to Ibrox and his move could be finalised in the coming days as Gerrard begins the next phase of his overhaul of the Light Blues squad.