The UFC Hall of Famer, one of just two fighters to hold UFC titles in two weight classes, "guarantees" he'll be fighting at UFC 196 on March 5 in Las Vegas, MMAFighting.com's Ariel Helwani reported on Wednesday's edition of UFC Tonight.
While there's no official opponent lined up, word has it that veteran Dennis Siver has emerged as a possible opponent for the former welterweight and lightweight champ.
Penn engaged in an war of words online with longtime prelim competitor Nik Lentz dating back several months, and the two got into it once again once Penn began training at JacksonWink MMA in Albuquerque in recent weeks.
But after Lentz overplayed his hand with a lengthy list of demands on Penn in order to make what would have been by far the highest-profile fight of Lentz's career, Penn has set his sights elsewhere, with Siver the name which has most often come up.
Penn (16-10-2) retired after a one-sided loss to Frankie Edgar on July 6, 2014 in Las Vegas. He finished his career on a 1-5-1 stretch, during which he fought at welterweight, lightweight, and finally featherweight.
Siver (22-11, 1 NC) lost both of his fights in 2015, a second-round TKO to Conor McGregor on Jan. 18 and a decision to Tatsuya Kawajiai on June 20.