There seems to be conflicting reports about the player’s intentions, however.
According to BBC Scotland, the 26-year-old is not keen on a move to St. Andrew’s and has already turned down their offer.
But according to the Dundee Evening Telegraph, Birmingham manager Gary Rowett remains in talks with the player and an agreement is close.
Stewart arrived at Dens Park on a free from Cowdenbeath in 2014 and was subsequently nominated for PFA Scotland Player of the Year for two consecutive seasons.
He has already scored six goals in his three appearances so far this season, despite his club’s exit from the League Cup group stage.