Smith, 32, earlier this year retired from rugby after an ongoing Achilles injury which plagued him since the start of 2011, but – as reported earlier this week – he left for France on Sunday with the aim of reviving his career.
He is now set to run out for the French Top 14 side after undergoing medical tests on Monday and Tuesday.
According to the Volksblad website, Smith passed all the medical tests and is busy negotiating a deal with Toulon.
“I passed all my medical tests and I’m talking to them (Toulon) about a contract,” said Smith.
“I’m excited and feel good. It was a long time (on the sidelines) and I’m glad it’s over now. I only want to play rugby now.”
Smith thanked Cheetahs fitness coach Niel du Plessis for his remarkable recovery.
“My recovery is largely due the good work of Niel du Plessis, PVM (Nutritional Sciences, a sponsor of the Cheetahs) and SSL (Sport Science Lab).
“Niel worked unbelievably hard to ensure that I can play again.”
At Toulon, Smith will join up with fellow South Africans Bakkies Botha (lock), Bryan Habana (wing), Joe van Niekerk (loose forward), Danie Rossouw (utility forward) and Michael Claassens (scrumhalf