According to ESPN.com, the Grizzlies and Raptors have agreed to a trade that sends Rudy Gay and Hamed Haddadi to Toronto in exchange for Ed Davis and Jose Calderon. The deal is still in its early stages—the Grizzlies and Raptors have only agreed “in principle”, according to ESPN, and Memphis is reportedly looking to flip Calderon to a third team, possibly Detroit (for Tayshaun Prince or Corey Maggette) or Dallas (for Vince Carter). But what we do know is that it appears Gay is (almost) certainly headed north. Some details: “The Memphis Grizzlies and Toronto Raptors have agreed in principle on a trade that will send leading scorer Rudy Gay to the Raptors, according to sources with knowledge of the deal. Sources told ESPN.com that the Grizzlies will acquire forward Ed Davis and veteran guard Jose Calderon from the Raptors and then move Calderon on to a third team to ultimately make this a three-team deal. The Detroit Pistons, sources said, are one of the prime options to take on Calderon, having pursued the Spanish floor leader all season. The Grizzlies want a small forward out of the trade and Detroit has two on its roster in the final year of their contract: Tayshaun Prince and Corey Maggette. But Memphis, sources said, is talking to at least one other team about taking on Calderon and is expected to receive a second-round pick from Toronto as part of the deal. The Raptors, sources said, are expected to take on Grizzlies reserve center Hamed Haddadi in addition to Gay.”

UPDATE: Deal is done. Rudy Gay and Hamed Haddadi to Toronto; Jose Calderon to Detroit; Austin Daye, Tayshaun Prince and Ed Davis to Memphis. Details via Yahoo! Sports: “The Memphis Grizzlies have reached an agreement in principle to trade forward Rudy Gay to theToronto Raptors, league sources told Yahoo! Sports. The Grizzlies receive point guard Jose Calderon as part of the deal, and will route Calderon’s $10.5 million expiring contract to the Detroit Pistons for a package that includes forwards Tayshaun Prince and Austin Daye, league sources told Y! Sports. The Raptors also sent forward Ed Davis and a second-round pick to the Grizzlies. Memphis sent center Hamed Haddadi to the Raptors. Gay, 26, is averaging 17.2 points and 5.9 rebounds. Under new owner Robert Para, Memphis has been desperate to unload contracts for the short- and long-term. In Prince, the Grizzlies get a respected, if not aging, small forward who’ll give them considerable savings over the $37 million owed Gay the next two seasons.”