The candidature of Veerendrakumar was cleared unanimously by the SJD's parliamentary board which met here today, according to party sources.
M B Rajesh of CPI(M) has won the Palakkad seat in 2009 and he is expected to be in the fray as LDF nominee.
Congress, which unsuccessfully contested Palakkad last time, allocated the seat to SJD in the final round of talks.
Though the SJD had earlier demanded Vatakara or Wayanad in north Kerala, the party later settled for Palakkad.
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The JD(S) faction led by Veerendrakumar later formed SJD and became partner of UDF in 2011 assembly polls.
The party has a minister in the Oommen Chandy Cabinet.
Veteran Socialist, writer and activist, Veerendrakumar is a former Union Minister.
He is also Chairman and Managing Director of Kerala's leading media house Mathrubhumi.