The Colombia international scored 124 goals across six season with Rangers, including a club record 29 in European competition, eclipsing the previous tally set by Ally McCoist.
Despite this impressive return, Morelos was not offered a new deal when his contract expired at the end of last season after struggling for fitness and form across the past 12 months and has been searching for a club since.
The 27-year-old looked set to remain in Europe when he travelled to Turkey last week for talks with Fenerbahce - a move which would have seen him reunited with ex-Rangers team-mate Ryan Kent, but the transfer failed to go through.
The striker will now play his football in Brazil after signing a two-year contract with Santos, the club where Pele spent the vast majority of his playing career. Santos sit 17th in Brazil’s Serie A table after 22 games.