The businessman famously bought the Midlands side from Sir Jack Hayward for £10 and the promise of investment in 2007, but sold it on for around £30m to Chinese conglomerate Fosun International last summer.
According to the Express & Star, Morgan has donated 42 million shares in his property company Red Row - worth more than £200m - to the Morgan Foundation, which funds thousands of charity and community groups.
"Steve Morgan's incredible generosity will mean a huge and profound step-change for The Morgan Foundation," Jane Harris, the company's administrator, told the newspaper.
"Our ethos is based on making a difference and Steve's gift of over £200 million means we will be able to help thousands of more people in need.
"We can also ramp up the donation of smiley buses which have made such a positive impact to the disabled and socially isolated in our region.
"I'm also delighted to say we are actively planning some very exciting, and significant, capital projects and we'll be announcing more details soon."
The gift is thought to be one of the biggest ever donations by a British businessman.