Stellenbosch beat Orlando Pirates in the race for Khiba's signature as the Buccaneers were also looking to sign him to boost Jose Riveiro's midfield options.
Khiba's transfer to Stellenbosch is seen as a significant advancement in his career, especially given that Stellies are also participating in the Caf Confederation Cup.
The former Marumo Gallants star, who was converted from right-back to midfielder by coach Sead Ramovic at Galaxy, will fill the void left by Jayden Adams at Stellies as the Bafana Bafana star is set to join Sundowns.