MILAN, Italy - Italia Independent, the sunglasses firm set up by a grandson of late Fiat patriarch Gianni Agnelli, is to collaborate with Chanel designer Karl Lagerfeld.

Recently-listed Italia Independent and U.S. group Marchon, licensed to produce eyewear for the German designer, will produce a collection of sunglasses and frames under a two-year agreement valid from October 2013, Italia Independent announced on Wednesday.

The Italian firm headed by Fiat scion Lapo Elkann will be responsible for distributing the products in Italy, while Marchon will be the international distributor.

Shares in Italia Independent rose 1.7 percent in early trading on Wednesday.