Abarth, Fiat’s tuning division, is hard at work at their first Abarth-only model. Designed by Italy’s IED Design Institute, the small two-seater roadster will be based on the SS concept (shown above) and will be the first of future Abarth only models.

The guys at AutoCar have learned that Abarth has successfully struck a deal with Lotus to use the next-generation Elise underpinnings for the upcoming roadster that will arrive in Europe sometime in 2011. Sources say that using Lotus resources, Abarth will be able to cut back on in-house cost and the complexity of building a new chassis.

The lightweight two-seater will be powered by a 240 horsepower 4-cylinder turbocharged, direct-injection engine.

Source: AutoCar