I like Davies. I think he suffered more than most as a result of Holden and Lee's injuries, as he was expected to dominate games more and he doesn't seem to be that type of player.
He's technically good, good on the ball, creative, and is capable of driving forward through the middle like Gerrard used to, and Adam often tries to do.
He's be a good option to have in games where we're trying to break teams down, or when teams come and park the bus. I've banged the drum for about 3 years now about not having players who are confident enough to drive forwards and overload the next line of formation (or, drive forwards into progressive zones, for the I-play-FM kiddies out there) with the ball at their feet. Johnson does it from right back, but apart from him the only person who looks to provide overloads with the ball at their feet is Daniel Agger. As I've said, Adam tries to occasionally but his decision making once he gets there is poor.
For a few million quid, I wouldn't turn it down.