Mahindra Racing will enter the new Formula E electric racing series next year with ex-Formula One racer Karun Chandhok set to drive for what will be the only Indian team on the grid.
The $16.2 billion Mumbai-based Mahindra Group said on Thursday it had signed an agreement with Formula E Holdings to join the series starting in China in September, with races in 10 leading cities including Berlin.
Mahindra are the eighth team to be announced so far.
"We strongly believe that Formula E can provide an excellent global showcase for our electric vehicle technology," group chairman and managing director Anand Mahindra said in a statement.
The group, which manufactures Mahindra Reva electric vehicles, said joining Formula E was a "natural step".
Chandhok, who raced in Formula One with now-defunct Hispania (HRT) and Team Lotus and has also competed at Le Mans, said he was in advanced talks with Mahindra to drive for them.
"The first priority was to get the team launched," he said. "Formula E is a very interesting new concept so we'll see if we can close something out in the weeks to come.
"It would be nice to have an Indian driver in the only Indian team on the grid," added Chandhok.
Mahindra Racing is no stranger to motorsports, having joined MotoGP in 2011.
"We are very proud to have a major global company like Mahindra join the FIA Formula E Championship," Formula E Holdings chief executive Alejandro Agag was quoted as saying in the statement on Thursday.