FRANKFURT/LONDON (Reuters) - Audi said on Wednesday it has agreed to take a stake in Swiss-based Sauber Group, whose team will become the German car manufacturer's works entry in Formula One from 2026.
No financial details were disclosed in the statement.
Sauber has been involved in Formula One since 1993 and currently competes with Ferrari (NYSE:RACE) engines, under the name of Alfa Romeo, a Stellantis brand.
Audi, owned by Volkswagen (ETR:VOWG_p), announced in August that it would enter Formula One under new engine rules coming in for 2026, with its own power unit to be built in Neuburg, Bavaria.
"Together we want to write the next chapter from 2026," Adam Baker, CEO of Audi Formula Racing said.
Sauber Motorsport said in a statement that the team will continue to use Ferrari power units for the next three seasons until the rules change.
"Audi is the best strategic partner for the Sauber Group," said Sauber Holding's board chairman Finn Rausing, the Swedish billionaire whose family owns packaging company Tetra Laval.
"It is clear that we share values and a vision, and we look forward to achieving our common goals in a strong and successful partnership."
German luxury sportscar brand Porsche, which recently listed in Frankfurt, is still talking with teams about entering Formula One after discussions with champions Red Bull broke down, the sport's governing body said last week.
Formula One's next generation of power units will have significantly more electrical power and use 100% sustainable fuels from 2026.
Formula One is also aiming to achieve a net zero carbon footprint by 2030, which Audi chairman Markus Duesmann said in August was a 'boundary condition' for the carmaker's entry.