Last season the 32-year-old enjoyed his best Premier League campaign, scoring 12 goals, and former Wanderers manager Sam Allardyce is reported to be ready to make a £5million bid to lure him back to Ewood Park.
Allardyce originally brought Davies to The Reebok from Southampton in 2003 and was credited with resurrecting his stuttering career.
He sees the former Chesterfield forward as an ideal replacement for Roque Santa Cruz, who is on the verge of a big-money move to Manchester City.
Davies, who endured a frustrating time at Ewood Park in the late 1990s after a £7.5million move from Saints, only signed a new contract last year and £5million would represent good money for a player approaching the end of his career.
However, Wanderers have no intention of allowing their influential captain to depart.
No bids have yet been made for the player and Bolton intend to reject any approach as they value Davies too highly.