Fashion entrepreneur Shami Ahmed is to pass control of his Joe Bloggs jeans empire to his 25-year-old brother and devote his time to a new e-commerce investment vehicle which he plans to float later this month.

Mr Ahmed, 37, set up Joe Bloggs when he was in his teens but will experience life as chief executive of a public company for the first by bringing Legendary Investments to the Alternative Investment Market. Broker Seymour Pierce is expected to release details of a private placing of £3m-5m next week.

Kashif Ahmed will take over as managing director of Joe Bloggs, which turned over about £50m last year. He has worked for his brother since he was 15. Mr Ahmed also plans to hand over control of his £60m property portfolio although ownership will not change.

"I will be devoting my time and efforts to Legendary," Mr Ahmed said last night. "I want to act as a strategic partner not just an investor."

Legendary plans to invest in a number of technology companies that have strong products and cash flows and are likely to float within a year. Mr Ahmed is examining the British, American and Indian software markets.

He will be joined on the board by Michael Fry, a former director of Thorn EMI, and Smit Berry, owner of Equity Link. Two other directors are expected to be appointed.

Mr Ahmed will be the majority shareholder, owning around 50% of the equity. The three directors will control collectively around 80%.

Mr Ahmed came to Britain at the age of two and left school at 16 to work on his parents' market stall. Joe Bloggs is the only domestic company to figure in the British top 10 for jeans.

Two years ago he rescued haute couture designer Elizabeth Emmanuel from bankruptcy but their relationship ended in acrimony and threats of litigation a year later.

Since then Mr Ahmed has made a series of investments in stock market listed companies, typically taking stakes of less than 3%.