Lee Cooper hives off by Future Lifestyle Fashions

Future Lifestyle Fashions 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 crores compulsorily convertible preferential shares to the new fully-owned arm. This fund infusion will result in the promoters diluting 26 per cent of the brand value of Lee Cooper, which is pegged at Rs 1,000 crores.

Another wholly owned subsidiary, Future Trendz, will carry on fashion retail business and related activities. Future Specialty Retail was incorporated on September 27. Future Lifestyle Fashions runs Central, Brand Factory and several other brands including Indigo Nation, Lee Cooper, Sculler, and Clarks. It has 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.

Future Group is targeting a revenue of Rs 75,000 crores to Rs 1 trillion from the current Rs 20,000 crores. It is focusing on food, fashion, general merchandise and home categories. Lee Cooper is an English brand that began in 1908. The products include formal trousers, denims, formal shirts, jackets, T-shirts, shoes, belts, wallets and so on. Lee Cooper has sponsored some famous rock bands, sports people and TV stars for brand promotion.