Everton had hoped to sign Davies during the January transfer window, but have now made the 25-year-old their first summer recruit as manager David Moyes prepares his team for the UEFA Champions League third qualifying round.
"I am coming into the best years of my career and hopefully I can give them to Everton. My first ambition is to help the club into the group stage of the Champions League, and because we finished fourth this season the fans will be hoping to get into Europe again via the league," said Davies, who made 121 league appearances in five seasons with Tottenham.
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