The car, sold under the Mahindra-Renault badge, will see a rebranding exercise and be manufactured and distributed by M&M alone.
Bajaj Auto's ultra low-cost car project may have a bumpy ride ahead, with partner Renault India still to take a final call on branding and marketing the vehicle.
German Formula One driver Nico Hulkenberg will leave Force India and race for Renault in 2017 after signing a multi-year deal with the French manufacturer.
Formula One has lost another of its principals.
Ferrari team principal Maurizio Arrivabene welcomed back the Kimi Raikkonen of old on Sunday.
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