UFC officials on Tuesday confirmed the fight, first reported by Australian website MMAKanvas.com.
Palelei (18-3) on Monday announced that he had signed a new four-fight contract to make his return to the Octagon after being more than five years removed from a one and done stint at UFC 79.
Palelei has since gone 10-1 outside the Octagon, losing only the Strikeforce Heavyweight Grand Prix champion Daniel Cormier more than two years ago.
Miocic (9-1), coming off the first loss of his career, will welcome Palelei back at the UFC’s first event in Winnipeg.
Miocic rocketed up the UFC heavyweight ranks, winning his first three bouts in the Octagon before Stefan Struve TKO’d him in the UFC on Fuel TV 5 main event last September in Nottingham, England.
No main event has yet been named for UFC 161, although a light heavyweight feature bout between Antonio Rogerio Nogueira and Mauricio “Shogun” Rua is set. Other rumored bouts include Dan Henderson vs. Rashad Evans and Jake Shields vs. Tyron Woodley.