The popular goalkeeper joins Dele Adebola, David McGoldrick and Paul Anderson in joining the Reds.
The spending is not going to stop there however with Davies keen to add to his options up front, despite the signings of Adebola and McGoldrick.
"We have to make sure we don't need to play Nathan Tyson three times in a week," he told the Evening Post.
"We have to make sure Robert Earnshaw does not do that.
"We have not brought Adebola to play 60 games a season, but to play in the right type of games in the right situations and to have them all fresh.
"To do that, we need six strikers. At this moment we have five very good strikers and we hope to bring in another one and that will have us ready to rotate it when we feel necessary."