Rio Tinto said on Wednesday it would buy U.S. based Arcadium Lithium for $6.7 billion in deal that would catapult it to become one of the world's largest miners of the metal used in electric vehicles and mobile devices.

Rio Tinto Group’s takeover offer for Arcadium Lithium Plc has won approval, boosting the world’s second-biggest miner’s bid to become a major producer of the crucial battery material.

Rio Tinto will be acquiring Arcadium in an all-cash $6.7 billion deal that would cement it as one of the world's top lithium producers.