The 21-year-old rose through the ranks at Cardiff City and Manchester City before heading to Germany to join Schalke on a four-and-a-half-year deal in January 2019.
Matondo made only 31 appearances for Schalke, but last season on loan at Cercle Brugge he netted nine goals in his 26 top flight outings.
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Gers sporting director Wilson admits that the club intended to invest in a wide offensive player this summer, and he is certain that Matando, a winger who can play on both the right and left side, is the ideal signing for Rangers.
Wilson is of the view that the 21-year-old has a lot to offer as his finest years are yet to come and stressed that he will prove to be a valuable addition to the current squad.
“We have been quietly working to secure Rabbi’s signature for the last few weeks since the June internationals finished”, Wilson told Rangers’ official site.
“We wanted to invest in a wide player this summer and we are excited with what Rabbi will bring to our group, with his speed and his general style of play.
“At 21 years-old there’s lots more to come from Rabbi and he will be a strong investment and addition to our group.”
Matondo is expected to travel with Giovanni van Bronckhorst’s side to England to face Championship side Blackpool in a pre-season friendly on 16th July and all eyes will be on whether the player makes his debut for the club.