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You need equal length 210mm axle stubs which should come with the E39 M5 diff. You'll need to swap the ring gear.
I believe the M5 diff is a 2 clutch with 45/45 ramps.
I don't think you'll need to machine the ring gear holes to 14mm.
I swapped a diff from an E24 635CSi and went with a 4 clutch conversion. The LSD rebuild part wasn't that hard.
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2018 F30 320iX Melbourne Red
2011 E90 M3 Monte Carlo Blue
2004 E46 M3 Imola Red
2000 E36/7 Z3 Steel Blue
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