Rio Tinto said on Wednesday it would acquire Arcadium Lithium for $6.7 billion, in an agreed all-cash deal that would make it one of the world's largest lithium producers. Rio said it would pay $5.85 per share for the U.

Rio Tinto sees significant growth in the lithium market; Arcadium’s operations include around 2,400 employees, include facilities and projects in Argentina, Australia, Canada, China, Japan, the UK and the US.

Australian investors say Argentina’s pro-business government and links to North American markets outweigh the nation’s reputation for sovereign risk.