Mwaruwari had been on a week-long trial with the Urban Warriors and played for them in a training match against Milano United on Monday.
But when the news broke that he was in Cape Town, United coach Wilfred Mugeyi, a former national teammate of Mwaruwari in the Zimbabwe set-up, stole in to offer the player a contract until the end of the season.
Should Mwaruwari impress during his three-month stay with the Chilli Boys, and the club keep their top-flight status, then there is an option for him to remain for another season.
The signing of the Zimbabwean forward is arguably the biggest signing yet by United, who look certain now to have lost out on the services of the Niger forward Moussa Maazou, for whom they were holding a foreigner spot.
That protracted transfer has seen the club pay over money to an agent brokering the deal, but he has not been able to produce the player.
Mwaruwari last played in the PSL in 2001 with Jomo Cosmos, before leaving for a successful spell in Europe with French side Auxerre and English clubs Portsmouth, Manchester City, Sunderland and Blackburn Rovers.
Mwaruwari, 34, confirmed he has signed a three-month contract with the PSL tail-enders.
“I’m delighted to be back in the PSL, I reached an agreement with Chippa United management this morning (yesterday) and I’m happy with the arrangement,” said Mwaruwari, who was linked with a move to SuperSport United in December.
Cosmos were also keen to re-sign the player if the team had not been relegated to the National First Division at the end of last season.
He is likely to make his debut for United in a league game against Bloemfontein Celtic at Free State Stadium on Saturday.
United assistant coach Humphrey Sithole said: “Benjani is a highly experienced striker, we have no doubt he will help us a great deal in scoring goals, which is one department where we are still lacking.”
Meanwhile, during his interview on Metro fm with Robert Marawa last night, Benjani did not say how much the deal was worth suffice to say “I’m happy with the outcome of the talks and ready to play as soon as documentations are complete.”
It is alleged he will be paid an exorbitant R170 000 per month.
* Power Dynamos have confirmed that ABSA Premier Soccer League side Mamelodi Sundowns wrote to them expressing their interest in acquiring the services of midfielder Mukuka Mulenga but have denied receiving an offer for the midfielder.