Ex-Blackpool midfielder and former Fleetwood Town boss poised to become new manager of Scottish side
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The Scot is due to end his four-year spell with Tranmere Rovers to replace Robbie Neilson, who made the switch to Hearts after helping Dundee United back to the SPL.
Former England boss Steve McClaren and Scottish FA performance director Malky Malkay also held talks over the role.
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Hide AdMellon, who played for Blackpool between 1994 and 1997, was powerless to stop Tranmere from being relegated from League One this season.
The Birkenhead outfit dropped back to League Two, after back-to-back promotions, after the season was curtailed early due to the coronavirus.
Mellon had guided Tranmere to a 2-1 win against Blackpool at Bloomfield Road in the final game before the campaign was suspended.
The former Tranmere player, who has also enjoyed promotions with Fleetwood and Shrewsbury, had a year remaining on his contract at Prenton Park.
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Hide AdFormer Blackpool midfielder Ian Black, who played under Mellon at Shrewsbury Town, believes it's a good move for the 48-year-old.
"He was great for the squad we had," he told BBC Sport.
"He's a good motivator and man-manager; he identifies quickly which players need an arm round them and which ones need a kick up the backside.
"He can mix up the styles of play, he doesn't really have a preferred one. I wouldn't say he's a hard taskmaster, he demands respect and gives it back.
"I'm sure he'll do a job up here. He's experienced and has done well wherever he's been."