H&M's new luxury label will be called '& Other Stories'.
The Swedish company Hennes and Mauritz - who own COS, Monki ane Cheap Monday along with the high street retailer - have registered trademarks and a logo for the new brand.
Press officer Hacan Andersson said: ''It is correct that H&M will launch a new chain in 2013 called & other stories, but this is all the available information we have as of today.''
The company is said to be planning the new project after it launches its sustainable red carpet range, entitled the Exclusive Glamour Conscious Collection, on April 12.
Designer Behnaz Aram, who joined the company's design team in August last year, is thought to be heading up the new luxury brand.
Michelle Williams has already shown her support for the Exclusive Glamour Conscious Collection line, wearing one of its monochrome floor-length gowns to the BAFTAs in February this year.
Speaking about Michelle, a H&M representative previously said: ''H&M approached Michelle Williams' stylist Kate Young and they showed great interest from the start.
''We felt that this was a fantastic opportunity and a new and exciting way to show our design.''