"HIT", which stands for Homicide Intervention Team - tells the story of a cop who is on the trail of a missing woman.
The 2020 original starred Vishwak Sen and Ruhani Sharma in the lead.
Directed by Sailesh Kolanu, the Hindi remake of the action-thriller that doubles up as a cop drama will star Rao in the lead. Dil Raju is attached to produce.
"When I saw 'HIT', I instantly connected with it. It's an engaging story, relevant in today's environment. As an actor I am always on the look out to play characters I haven't explored and 'HIT' gives me a chance to do that . I'm looking forward to take this journey with Sailesh and Dil Raju," Rao said in a statement.
Kolanu, who also directed the original film, said the actor was apt to play the role of a troubled cop.
"The first case of 'HIT' tells the story of a police officer who is constantly fighting a battle with his past and his present. So it's a troubled character. I wanted to cast someone who can bring that darkness to the role and still make the audience root for him with a matured performance. I felt Raj can evoke that kind of a response," he said.
The director said he has been following Rao's work since 2011's critically-acclaimed film "Shaitaan", in which the actor played the role of a police officer.
"He is a terrific actor and has managed to surprise us every time with his performances. I am really excited to be working with Rajkummar Rao and Dil Raju sir on this project," Kolanu said.
"HIT" is planned as an investigation franchise in the south and Kolanu is keen to follow that in Bollywood as well.
"I feel the premise of 'HIT' is very global. But I will be making very minor changes to suit the sensibilities of the audience all over India," Kolanu said.
Raju, who is remaking 2019 Telugu sports drama "Jersey" in Hindi with Shahid Kapoor, will be backing this venture under Dil Raju Productions banner along with Kuldeep Rathore.
"HIT" is now in pre-production and will go on floors in 2021. KKP RDS RDS