Toto Wolff will extend his role as team principal and chief executive of the Mercedes Formula One team for a further three years.

The team confirmed the deal as part of a re-structuring which will also see INEOS become a one-third shareholder within the team.

The deal comes amid increasing suggestions that the team is set to imminently announce a new contract for reigning world drivers’ champion Lewis Hamilton.

Wolff said: “I am pleased to begin this new chapter for the Mercedes-AMG Petronas F1 Team.

“This team is like a family for me. We have been through so many highs and lows together that I cannot imagine working with a better group of people in this sport – and I am very happy to continue together into this new era.”

Under the new arrangement, Daimler will reduce its current 60% holding and Wolff increase his existing portion to create three equal partners within the team.

Wolff, speaking in a press conference on Friday afternoon about the restructuring, said he was “not worried” about getting a Hamilton deal done.

“We have had such a successful run of championships for the past seven years there is no reason why not to continue,” said Wolff.

“He is on the top of his game and he will be for a while so that is why continuing together is a no brainer.

“We always prioritised the championship and not being distracted by sometimes difficult discussions as is the nature of negotiation and then Covid struck so it has delayed us a bit but we are not worried in eventually getting it done.

“We are not putting a special date on it. Sooner or later it needs to be done and the latest is when we go testing next year.”

Mercedes issued a tweet shortly before 10pm on Thursday with the hashtag “announce” and a quote from Hamilton emphasising his desire to stay with the team.

INEOS previously announced a deal to become a ‘principal partner’ of the Mercedes F1 team in February.

INEOS chairman Sir Jim Ratcliffe said: “When we entered Formula One earlier this year, we chose to do so with a Mercedes team that had set new benchmarks, and since then we have been in discussions about how we could increase our involvement.

“This is a unique opportunity to make a financial investment in a team at the very top of its game, but which still has rich potential to grow in the future.”