Mercedes specialist HWA will enter the 2018/19 Formula E season as a customer entry with powertrains provided by Venturi.
HWA has already been partnered with Venturi for the current campaign with its engineering personnel embedded in the Monaco-based manufacturer's team and the company providing additional technical support.
Using Venturi's Gen2 powertrain, HWA will bring the number of FE teams up to 11 for next season, and its entry comes ahead of Mercedes' own arrival in the electric championship for 2019/20.
"I'm delighted to contribute to HWA AG's arrival as a Formula E team, by providing them our Venturi Gen2 cars for next season," said Gildo Pastor, the president of Venturi Automobiles.
"Our partnership over the current season is a win for both organisations."
HWA was founded in 1998 as an offshoot from Mercedes' high-performance division, AMG, and has taken all seven of the manufacturer's DTM drivers' titles.
"Formula E is a completely new motorsport discipline with extremely tough competition," said HWA CEO Ulrich Fritz. "It's a challenge that we're very happy to rise to.
"HWA AG are the most successful team ever in DTM history. Our goal is to continue the company's success story in Formula E.
"At the same time, Formula E with its unique concept offers a completely new perspective on the future for motorsport.
"The series is characterised by its innovative pioneering spirit and by its willingness to develop new ways of interacting with the fans.
"The street races in the heart of some of the world's largest and most important cities open-up many opportunities to appeal to an entirely new audience and to get them fired up for racing and for sustainable technologies of the future.
"In combination with the fierce competition on the racetrack, this is the perfect platform to demonstrate our core competencies on a global stage and to measure ourselves against the best teams."
The 2018/19 season will feature the debut of FE's Gen2 machines, which have a longer battery life and higher top speed than the current cars, and were recently tested in two closed group manufacturer sessions.
"Not only does Formula E have a new-look and unique visual identity for season five, with the futuristic next generation car - but we also have exciting news with a new team entering the ABB FIA Formula E Championship in HWA AG," said FE CEO and founder Alejandro Agag.
"It's rewarding to see a name so synonymous with racing join the already impressive and growing list of teams and manufacturers competing in Formula E.
"They have a proven track record in other categories and will surely push to replicate similar achievements in Formula E as we enter a new era of fully-electric racing.
"I'm glad to welcome Ulrich and HWA AG to the Formula E family. I'm eager to see them hit the track as a customer team later this year."