Davids was appointed as the club's interim coach in March after the shock resignation of Roger de Sa, in charge of only seven games having taken over in February when the season resumed.
It was the second time Davids was given the interim job during the season after he filled the post when Ernst Middendorp resigned in November last year.
Upon being tasked to lead the team at that time, he helped Maritzburg United to three wins out of four league matches in April and he was named the Manager of the Month by the PSL and became the youngest coach to win the monthly award last season.
The 35-year-old, who confirmed that talks were underway after the last game of the season at home against Bloemfontein Celtic, helped the club finished in the top eight for the second time in their history, having first done so in 2014/15 season.
According to the insiders at the club Davids will be named as the coach when they reconvene for pre-season.
"The deal has been done and Fadlu Davids will be name as the coach of the club for next season," a source tells this website.
"When the players all report back for pre-season they'll be informed of the decision."
The announcement is set to be made publicly by the club chairman Farouk Kadodia when the club hold their annual awards - with captain Kurt Lentjies set to be big winner.
Davids, who was initially reluctant to take the post permanently because he wanted to add UEFA A license to his B license, was in charge of 14 games in all competitions across his two spells as interim coach. He won six, drew six and lost two.