The former Miss World accepted a proposal from her long-term partner Wesley Quirke during a festive break in Mauritius with her famous father and other family members.
Quirke asked permission from the Lady In Red hitmaker before popping the question and De Burgh marked the special occasion by serenading the happy couple with his classic ballad.
Davison, who has been in a relationship with the businessman for more than six years, took to her Twitter.com on Sunday (06Jan13) to tell fans the good news.
She tweeted, "Just want to pass on the happy news... Wes just proposed to me... And I very happily accepted!!!! We're delighted!!!"
Quirke reportedly forked out more than $51,000 (£32,000) for the diamond engagement ring which he proudly displayed in a snap on his Twitter account alongside the message, "Here's the ring ladies".