Bacanora Lithium said the takeover offer from Chinese partner Ganfeng International had gone unconditional following regulatory clearance in Mexico.
As a consequence, the distribution of its stake in Zinnwald Lithium will now go ahead.
For each Bacanora, shareholders will now receive 0.23589 Zinnwald shares with 20 December the ex-date and transfer expected to be completed by 22 December.
Ganfeng, the world's largest lithium producer, approached Bacanora in May with a 67.5p per share cash offer that was sweetened with the Zinnwald stake.
The Chinese group already had a 29% stake in Bacanora and a 50% stake in Sonora, the AIM-listed miner’s lithium project in Mexico, when it made the offer.
Shares in Bacanora today rose 7% to 68p with Zinnwald up 0.8% at 16.1p.