Caterham has signed a deal to create a new ultimate performance division and the first model has enough power to threaten a Bugatti Veyron.
The deal is with RS Performance and the first fruit is a 2.4-litre V8 engine that makes 400bhp in normal tune.
Buyers can also opt for a supercharged version of the engine that produces more than 500bhp.
When fitted to a Caterham Seven, the car has a power-to-weight ratio of more than 1,000bhp per tonne, which trumps the Bugatti.
There's a 12-week waiting list for the limited edition Levante and each car will cost from £115,000.
The price includes a sophisticated electronics package to control the engine's power through traction and launch controls.