The news leaked early Tuesday morning via Scottish news outlets and Birmingham City confirmed the reports as well as the length of the loan through June 30, which also represents the expiration date of his contract with the English second-division club.
The deal was sealed before the MLS primary transfer window closed on Monday.
“We're pleased that Steven has agreed to join us on loan until July. He's a proven defender with great experience,” Toronto FC president and GM Kevin Payne said in a club statement. “We expect him to help shore up our defense.”
Caldwell is the fifth British import by Toronto manager Ryan Nelsen, who played for English Premier League squad Queens Park Rangers as recently as February. Hogan Ephraim, John Bostock, Robert Earnshaw and Darel Russell have all been added to the Reds' roster since Nelsen's arrival.
The Scottish international is one of the more experienced additions by Nelsen, after featuring with several clubs in the Premier League including Newcastle, Sunderland, Burnley and Wigan Athletic.
Although he has not been a fixture in the Birmingham City squad of late, Caldwell did rack up 38 appearances this season and he also has 12 caps for Scotland, with his last appearance coming in a match against Northern Ireland in February 2011.
Toronto FC have given up 13 goals in nine matches thus far in 2013, the fourth-worst defensive record in MLS.
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