Mercedes-AMG will pay $10 million to settle claims that it misled investors in the US market about the performance of its sporty V-8 engines.
The German automaker is also expected to pay $1.2 million to the Securities and Exchange Commission for its role in the $100 million deal.
“Mercedes-AMGs engine is designed to be turbocharged,” the company said in a statement on Wednesday.
“We believe that the engines are able to produce more power, and so we made the investment to improve the quality of the performance.”
Mercedes-AmG, which also makes the AMG S550 sports car and its sports utility vehicle, will pay about $10,000 per share in cash.
The deal is expected to close by the end of March.
Reuters news agency