Britain's Trinity Mirror Plc, publisher of the Daily Mirror, will launch a weekday newspaper called New Day this month, Sky News reported on Wednesday.
The paper will launch on Feb. 29 and will initially be priced at 25 pence, Sky reported, citing people close to the plans.
A Trinity Mirror spokeswoman declined to comment.
New Day is expected to compete with Johnston Press Plc's i newspaper, and will eventually raise its price to more than 40 pence - the cover price of the i, Sky reported.
The Independent sold the i last week and decided to pull the plug on its printing press. The Guardian has planned cost cutting measures costs to bolster its bottom line.
(Reporting by Ismail Shakil in Bengaluru; Editing by Saumyadeb Chakrabarty)