Juan Manuel Marquez and Juan Diaz will meet head on in the new year.

The pair will battle it out for the latter's IBO belt and the unofficial tag of best lightweight in the world on February 28. The venue is yet to be confirmed.

Marquez, who was been named the Ring Magazine's champion when he stepped up to 135lbs to become the first man to stop colourful Cuban Joe Casamayor in September, had been touted as a possible opponent for Ricky Hatton or Manny Pacquiao.

But instead he will fight former undisputed lightweight champion Diaz in a Golden Boy Promotions bill-topper.

"This fight between Marquez and Diaz will shake the lightweight division to its core and truly determine the best 135-pounder in the world," said Oscar de la Hoya, President of Golden Boy Promotions.

"As a fan, I can't wait to see this fight."

Marquez, who has won world titles at featherweight and super-featherweight, fought twice last year, beating Casamayor and losing a narrow decision to pound-for-pound king Pacquiao.

His scalp would put Diaz back on the boxing map after he surrendered his IBF, WBA and WBO belts to veteran Nate Campbell in one of the surprises of 2008.

He has since out-pointed Michael Katsidis, and says Marquez's reputation does not scare him in the slightest.

"Juan Manuel is one of the greats in the game and it's an honour to fight him, but I will be victorious on February 28," he said.