NEW DELHI: Future Lifestyle Fashions (FLFL) jumped 5 per cent on Thursday after the company reached a conditional agreement with Koovs to subscribe up to 29.9 per cent stake. The agreement is subject to regulatory and procedural approvals. The move will give Future Lifestyle access to an online fashion platform, something that had been missing from its portfolio, said Jefferies in a note.

With this online foray, the company will be able to operate an omnichannel play along with its physical store network and push its own brand portfolio, the brokerage said. The stock rose 5.56 per cent to hit a high of Rs 420.25 on the BSE. "This investment would complement the existing value chain for FLFL as an integrated branded fashion player.

FLFL’s strong retail presence backed by owned brands coupled with Koovs online strategy will help reach more customers and create value for all stakeholders,” Kishore Biyani, Group CEO, Future Group, said in a BSE filing. Koovs will issue Future Lifestyle Fashions with 57,876,600 new ordinary shares at 10 pence per share, representing 24.8 per cent of the current issued share raising 5,787,660 British pound of cash.