Relegation-threatened Livorno have sacked Domenico Di Carlo after just 88 days in charge and re-appointed Davide Nicola.
Virgil van Dijk claims he knows nothing of interest from English clubs and is keen to prove himself in the Champions League with Celtic.
The Serie A side announced the move on their official website on Wednesday night, with Rovers doing likewise once the deal was ratified.
The Argentinian midfielder, who is under contract at Ewood Park until summer 2014, will remain with Palermo until June 30.
Formica, 24, joined Blackburn from Newell's Old Boys two years ago and has scored five times in 54 appearances.