Nikbakht joined the Tehran-based team on an 18-month contract. The 29-year old has not played since last season due to suspension.
In the past, Nikbakht played in Abu Moslem, Esteghlal and Persepolis as well. He has won 77 caps for Iran football team and scored 14 times.
Steel Azin is fourth in the Iran Professional League standings with 27 points behind Sepahan, Zob Ahan and Esteghlal.