AMG SLS Mercedes-Benz is planning a smaller, cheaper brother to the SLS supercar, which will rival the Porsche 911 and Jaguar C-X16.
The development director of Benz performance division, AMG, Christoph Jung, told Britain's AutoExpress that there was room for an AMG model below the SLS, targeting the Porsche 911. "This is the next market for AMG, and we are considering what is the right package," he said.
Jung said the success of the $450,000 gullwing-doored SLS - which has sold 5000 models worldwide since 2009 and grown to include a Roadster version - had paved the way for a second AMG model.
"It is important to work on our brand and grow it. Look at the Porsche 911 - it is a huge success. They have done a very good job in evolving it over the years.
"Now, thanks to the SLS, companies like Porsche see AMG as competition. Everyone recognises that AMG can produce super sports cars."
Although the new sports car is in the early stages, Jung revealed some details. It will have two seats - "otherwise it will be too heavy" - and be powered by a front-mounted V8 engine: "It has to be a V8. We have heritage and customers expect it."
Most likely a development of the firm's latest 5.5-litre twin-turbo, this engine would produce up to 373kW, driving the rear wheels through a seven-speed twin-clutch gearbox. Expect 0-60mph in four seconds and a top speed of 300km/h. "We have to have performance figures close to competitors, but we need much more," said Jung. "We need it to sound right and go right. It can't just be the most powerful. It has to have the whole package."
The new model is also likely to boast stop-start and other efficiency-boosting measures.
Jung said that AMG had been paying particular attention to Jaguar. "It is very interesting for me to see the C-X16 at the Frankfurt Motor Show, but I think the starting price of €60,000 ($104,000) is very ambitious."
Jung hinted the new SLS model would have to start at around €80,000 in order to be profitable. A coupe is a certainty and a roadster could join it. "When you are new to a market, you can only offer one or two variants. You can't expect to do more than that from the start."
No dates have been confirmed, but such a car is likely to be three years away at the earliest.