Shenghe Resources (SHA:600392) received approvals from the Tanzanian and Australian governments for the acquisition of Peak Rare Earths (ASX:PEK), according to a Shanghai bourse disclosure on Saturday.

Shenghe's shares fell over 1% during Monday's midday trade.

The Australia-listed company was agreed to be acquired for AU$195 million to control the Ngualla rare earth project in Tanzania. The price was raised from the previously proposed AU$158 million.

The Chinese rare earths mining and processing company will acquire Peak through a subsidiary.