Perez will own one of potentially 12 teams competing in the E1 championship that is set to commence in 2023, with his squad set to compete with the Mexican national colours adorning its RaceBird boat.

Back in 2010, Perez drove for Agag’s Barwa Addax GP2 squad and finished second to Pastor Maldonado in the standings with five wins (two feature and three sprint). The pair have remained in contact since then.

“I’m really excited at the prospect of becoming a new team owner in E1 and having a team representing Mexico in the UIM E1 world championship,” said Perez.

“Given my relationship with Alejandro, I’ve kept a close eye on what he’s been doing and his various championships, and I think what he’s achieved with promoting more sustainable forms of motorsport is commendable.

“Seeing a racing team flying the flag for Mexico on a global stage will be amazing and I cannot wait to watch the RaceBird in action for the first time.

“I’ve heard lots of positive stories about the boat and the exciting sporting product E1 is trying to create for fans with city events.

“For sure this will be a great challenge in my career and a learning experience. I’m looking forward to getting started and helping to grow the fan base in Mexico and around the world.”

Agag, who is remains FE chairman and started the Extreme E spinoff series where he is CEO, said: “Me and Checo have remained close friends since working together during our days in GP2, where Checo drove for my team.

“In a funny way, it feels a bit like things have come full circle, with me hiring him as a driver and now Sergio entering a team of his own in E1.

“He’s not only an incredibly quick and talented racing driver in his own right, but he’s also clever and has all the attributes that are required to become a successful team owner.

“I’m delighted to welcome Checo to the E1 family and I look forward to seeing how the plans for Team Mexico develop.”

Mexican RaceBird boat

Team Mexican RaceBird boat

Agag has formed E1 with former F1 engineer Rodi Basso, who was Rubens Barrichello’s race engineer at Ferrari during the Scuderia’s ultra-successful run between 2000 and 2004. He then went on to work for Red Bull and McLaren’s Applied Technology division.

E1 hopes to pit 12 teams and 24 pilots in a series of races around the world involving the RaceBird hydrofoil boat, which can apparently reach speeds of 58mph, with the additional aim of promoting sustainable on-water technology.

It is sanctioned by the Union Internationale Motonautique (UIM), the world governing body of powerboating and, as was the case when Agag established FE with the FIA, E1 has an electric racing exclusivity agreement.