The physiological function of the polyamine-induced protein (PI protein), whose synthesis is stimulated at an early stage after the addition of putrescine to growing cells of a polyamine-requiring mutant of Escherichia coli (Mitsui, K., Igarashi, K., Kakegawa, T., and Hirose, S. (1984) Biochemistry 23, 2679-2683), has been studied. The following findings clearly show that the PI protein is a binding protein of an oligopeptide transport system. (a) PI protein was found in a periplasmic fraction. (b) When the restriction map of a clone for the PI protein gene was compared with Kohara's physical map (Kohara, Y., Akiyama, K., and Isono, K. (1987) Cell 50, 495-508), the gene was found at 27 min of the E. coli chromosome, where genes for an oligopeptide transport system were located. (c) The clone contained a 1,629-nucleotide open reading frame encoding a 543-amino acid protein whose calculated Mr was 60,901, and the predicted amino acid sequence from this open reading frame was quite similar to that of an oligopeptide binding protein of Salmonella typhimurium. (d) When the transport activity of a tripeptide, Gly-Leu-125I-Tyr, was measured in a polyamine-requiring mutant of E. coli growing both in the presence and absence of putrescine, the activity was higher in the cells growing in its presence. (e) Polyamine stimulation of cell growth was greater when an oligopeptide rather than corresponding amino acids was added to the medium. These results suggest that the polyamine stimulation of PI protein synthesis at the early stage after the addition of putrescine contributes to the polyamine stimulation of cell growth through the supply of nutrients.