Future Lifestyle hives off Lee Cooper as subsidiary

MUMBAI: Kishore Biyani-controlled Future Lifestyle Fashions on Friday said it has hived off its leading brand Lee Cooper into a new step-down subsidiary, Future Specialty Retail.

The company would also be issuing Rs 250 crore of compulsorily convertible preferential shares to the new fully-owned arm. This fund infusion will result in the promoters diluting 26% of the brand value of Lee Cooper, which is pegged at Rs 1,000 crore, market sources told PTI.

The company in a BSE filing said its another whollyowned subsidiary, Future Trendz, will carry on fashion retail business and related activities.

Future Specialty Retail was incorporated on Sept 27, with a subscription amount of Rs 5 lakh, according to the exchange filing.

Future Lifestyle Fashions runs Central, Brand Factory and several other brands including Indigo Nation, Lee Cooper, Sculler, and Clarks.

It had divested its stake in Biba, AND and Celio over the past few years, but still owns significant shares in brands such as Clarks, Tresmode and Giovani, among others.

Future Lifestyle Fashions today closed 0.80 per cent up on the BSE at Rs 131.60.