The 20-year-old, who spent an eventful season on loan at Belgian side Lierse, said that Deila had been keen to take the striker to Norway, but the move broke down.
Watt revealed: “It was a move I was very interested in. I wanted to keep playing football before I headed back to Celtic.”
The former Airdrie frontman made headlines around the globe when he scored the winner in a Champions League group match against Barcelona at Celtic Park, but found himself sent out on loan the following season.
A number of high-profile bust-ups with Lierse manager Stanley Menzo led to the Scotland Under-21 striker being frozen out at the Jupiler Pro League side, and demoted to the club’s reserves.
But Watt is keen to kickstart his career under Deila at Celtic, but appreciates that he faces strong competition.
He told The Sun: “I want to go back to Celtic and play. I’ve supported them since I was a wee boy.
“I want to score goals and make my contribution towards us being even more successful in future. I just want a run of games.”
The youngster is keen to get a good pre-season under his belt in order to force his way into the squad for the Champions League qualifiers, adding: “It’s up to me to show the new manager I am worthy of that chance. I will give 100 per cent. I want this to be a successful part of my career.”