Danny Webb will contest the last 125GP world championship next season and first ever Moto3 four-stroke series in 2012 for the Indian-based Mahindra and Mahindra squad.
The British rider has agreed a a two-year deal and will contest the 2011 125GP campaign on a bike designed and built by Engines Engineering in Italy.
Webb will be partnered by German rider Marcel Schrotter next season and is expected to make his testing debut on the new bike in Spain in early February.
Mahindra and Mahindra is keen to cash in on the small capacity biking boom in India and confirmed its plans to enter the Grand Prix arena last month.
Dorna boss Carmelo Ezpeleta recently flew to India prior to the Japanese Grand Prix in early October for further talks on plans to get India on the MotoGP calendar in 2012.
Webb told MCN: “I’m really excited about this new project and it is really flattering to think a new team has chosen me to lead development of its bike. I established myself as a top ten world championship rider last season and am confident I can help this new team be competitive immediately.
"With India looking to come on the MotoGP calendar in the future this is a really important period for the team and I’m looking forward to being part of something as big as this.”
Webb finished the 2010 campaign – his fourth year in the 125GP class – in tenth position overall with a career best haul of 93-points riding for the Andalucia Cajasol Aprilia squad. He qualified second on the grid for the penultimate round in Estoril and scored a best result of sixth in Indianapolis.