Defoe scored 32 goals in 74 Rangers appearances and helped the side win last season's Scottish Premiership.

Meanwhile, Rangers have recalled Swiss striker Cedric Itten, 25, from his loan with Greuther Furth after two goals in 12 appearances for the German club.

Itten, capped seven times for his country, scored six goals in 37 appearances for Rangers last term.

Defoe had this term combined playing with coaching under former manager Steven Gerrard and the club said Defoe "will always be fondly remembered".

Rangers, who appointed Giovanni van Bronckhorst as Gerrard's replacement in November, said: "His final appearance for the club on the park was the 3-1 defeat of Livingston back in November.

"The fantastic ovation he received from the Rangers support at Almondvale as he entered the action that afternoon was testament to the high regard he is held in by the fans."