H&M is expected to launch a new stand-alone chain in 2013. There are not much details unveiled but the new brand will probably target wealthy audience, while H&M is mostly oriented on young middle-class customers.

Photo: H&M launches David Beckham-branded pants, by Sarah Lee for the Guardian

H&M chief executive Karl-Johan Persson said the new chain would follow the steps of the H&M’s offshoot COS, or Collection of Style, that launched in 2007.

«We have many different projects in progress and already next year we will be launching a completely new store chain.»

«Like COS, which today is very successful with good profitability, the new chain of stores will be independent and complement the other offerings from the group,» he said.

According to the Guardian, H&M reported a 13% rise in sales to 27.8bn Swedish kronor (£2.6bn) in the three months to 29 February. H&M also said the UK, US and China will be its fastest growing markets this year.

The retailer giant opened a new H&M store in Sofia, Bulgaria, this month, and plans to expand in Bulgaria, Latvia, Malaysia, Mexico and Thailand by the end of the year.

H&M has a long history of entering the luxury fashion market via collaborations with such brands as Lanvin, Marni and Versace. Earlier this year, the company has launched a sustainable red carpet range, Exclusive Glamour Conscious Collection.