Formula E: Fortescue Zero takes majority stake in Penske team & signs Jaguar Gen4 deal

The restructuring of the former Penske Formula E team is taking shape: Fortescue Zero is set to acquire a majority stake in Jay Penske's operation and will compete as Fortescue Zero Racing from the start of the Gen4 era. At the same time, Jaguar has confirmed a multi-year customer agreement with the new Australian team. A total of six Formula E cars will therefore race with Jaguar powertrains from Season 13.

What had already begun to emerge in August now appears to be becoming reality: Fortescue Zero is joining Jay Penske's Formula E operation and taking a majority stake in the team. As first reported by FE Notebook, Penske is nevertheless expected to remain involved as a minority shareholder. The agreement for Fortescue Zero to come on board is understood to have been reached around the season finale in London.

Jaguar has meanwhile officially confirmed a multi-year customer agreement with Fortescue Zero Racing. The new Australian team will race with Jaguar technology when the new season begins in December.

Penske set to remain as minority shareholder

The latest developments add further detail to information first reported by e-Formula.news in August. At the time, Italian newspaper Il Messaggero reported that Penske was set to sell a stake in his Formula E team to Fortescue Zero. The future ownership structure initially remained unclear.

According to FE Notebook, Fortescue Zero will now take the majority stake. For Jay Penske, the deal therefore represents a significant step back, although the American is not expected to leave the operation entirely. He is set to remain involved as a minority shareholder.

The team's history stretches back to Formula E's inaugural race in Beijing in 2014, when the operation competed as Dragon Racing. It later raced under names including Dragon Penske Autosport and, most recently, DS Penske. DS Automobiles left Formula E after eleven seasons following the 2026 season finale in London. From the start of the Gen4 era, the team will compete under the Fortescue Zero Racing name.

From Formula E technology partner to team owner

For Fortescue Zero, the investment in Penske represents the next step in a long-standing involvement in electric motorsport. The company has worked with Jaguar as a technology partner for several years and is also closely connected to Formula E in other areas.

Fortescue Zero has its roots in Williams Advanced Engineering. The company developed into a specialist in high-performance electrification and works on electric technologies for a range of applications beyond motorsport.

Williams Advanced Engineering developed the spec battery used by Formula E's Gen3 cars. Today, Fortescue Zero supplies, among other things, the chargers used for Pit Boost and serves as an official technology partner of the championship in this area. By investing in the former Penske team, the company is now also becoming the majority owner of a Formula E operation.

According to FE Notebook, Fortescue Zero sees the move as an opportunity to demonstrate its technology and expertise in electric motorsport not only as a supplier, but also directly in competition.

Jaguar confirms multi-year deal with Fortescue Zero Racing

Jaguar has officially confirmed that it will supply Fortescue Zero Racing with its Gen4 powertrain from Season 13. The agreement covers multiple years, making the new team Jaguar's second customer operation alongside Envision Racing.

"We are delighted to be working with Fortescue Zero Racing as a new customer team for Formula E's Gen4 era," says Jaguar Team Principal Ian James. James says the arrival of Fortescue Zero Racing strengthens Jaguar's presence on the grid, while the two companies also share a strong focus on technological innovation.

For Jaguar, the deal significantly expands its Formula E presence. In addition to the two factory cars, two Envision Racing cars will continue to use Jaguar technology, with another two cars now joining the grid under the Fortescue Zero Racing banner.

That means a total of six Jaguar-powered cars will compete in Formula E from Season 13. All six will be eligible to score points for Jaguar in the Manufacturers' World Championship.

The Gen4 era is scheduled to begin in Jeddah on Friday, December 18, 2026. Jaguar has committed to Formula E for the entire Gen4 cycle from Season 13 through Season 16.