Pedro Caixinha is set to become the new Rangers coach after getting clearance from his Qatari club on Thursday to move to Ibrox.
A deal is expected to be completed quickly between the 46-year-old Portuguese, Rangers and Qatar Stars League club Al Gharafa.
Caixinha emerged as Rangers' number one choice to replace Mark Warburton last week although he won't be fully in charge for Sunday's clash with Celtic.
Al Gharafa confirmed his departure, posting on Twitter: "Al-Gharafa reached agreement with Scottish Club Rangers about the transfer of head coach Pedro Caixinha.
"Our club considered the financial benefits of Al-Gharafa especially when we know the coach's contract ends in 45 days."
The Doha-based side added in Arabic that "the manager's desire to exploit the chance of moving to Rangers was stronger than our desire for him to stay".
Caixinha moved to Qatar in 2015 after a spell with Santos Laguna, a Mexican club with close links to Celtic.
He previously managed Uniao de Leiria and Nacional in his native Portugal after stints on the coaching staff with Sporting Lisbon, Panathinaikos, Rapid Bucharest and Saudi Arabia.