The former Greek skipper joined City two years ago from Greek club PAOK Salonica for £750,000 and has made over 50 appearances for The Foxes, scoring three goals.
The 28-year-old midfielder has spent much of this season on the bench though, and he has not appeared for Martin O`Neill`s first team in the last six weeks.
One incident Zagorakis was involved in this season was the Worthington Cup Final, when he was an unused substitute, but was slapped by Tranmere boss John Aldridge after he allegedly celebrated the dismissal of Rovers defender Clint Hill.
Click here for our original story about Zagorakis returning to Greece.
