Everton are close to sealing a permanent deal to sign Borussia Dortmund midfielder Steven Pienaar, according to reports on Merseyside.

The 25-year-old South Africa international has been in excellent form for David Moyes' side this term since agreeing a season-long loan switch to Merseyside last summer.

Last month, Dortmund's general manager Michael Zorc admitted that the player is keen to remain at Goodison Park.

"Steven Pienaar wants to stay at Everton," he said. "There are clear signals that the club will take up their option to buy him."

The Liverpool Echo claims that, despite interest from Arsenal and Valencia, Everton have agreed a fee with Dortmund for his permanent signing and are close to finalising terms.