The Daily Telegraph is reporting the multi-million dollar contract would be over four years and include huge incentives if Pearce can win a grand final with the Newcastle club.
Pearce was said to also be weighing up offers from Cronulla and Manly but the Knights have the most room in the salary cap to work with.
The Newcastle offer is reported to be worth more than $1 million more over the four years compared to what Cronulla can offer.
Just yesterday Sea Eagles head coach claimed the club was still in the fight for Pearce’s signature but wouldn’t break the bank to sign him.
“We are still in the fight. We can’t match the money Newcastle are going to throw at him,” Barrett said.
“I can’t put the club in jeopardy and I have a lot of kids here I want to retain so I can’t risk that. I really want him to come.”