diff --git a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/TimelineView.kt b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/TimelineView.kt
index 730fe0c02e..f27ae8eb51 100644
--- a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/TimelineView.kt
+++ b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/TimelineView.kt
@@ -39,7 +39,6 @@ import androidx.compose.foundation.lazy.rememberLazyListState
 import androidx.compose.foundation.shape.CircleShape
 import androidx.compose.material.icons.Icons
 import androidx.compose.material.icons.filled.ArrowDownward
-import androidx.compose.material3.CircularProgressIndicator
 import androidx.compose.material3.FloatingActionButton
 import androidx.compose.material3.Icon
 import androidx.compose.material3.MaterialTheme
@@ -65,6 +64,8 @@ import io.element.android.features.messages.timeline.components.TimelineItemReac
 import io.element.android.features.messages.timeline.components.TimelineItemRedactedView
 import io.element.android.features.messages.timeline.components.TimelineItemTextView
 import io.element.android.features.messages.timeline.components.TimelineItemUnknownView
+import io.element.android.features.messages.timeline.components.virtual.TimelineItemDaySeparatorView
+import io.element.android.features.messages.timeline.components.virtual.TimelineLoadingMoreIndicator
 import io.element.android.features.messages.timeline.model.AggregatedReaction
 import io.element.android.features.messages.timeline.model.MessagesItemGroupPosition
 import io.element.android.features.messages.timeline.model.TimelineItem
@@ -77,6 +78,7 @@ import io.element.android.features.messages.timeline.model.event.TimelineItemIma
 import io.element.android.features.messages.timeline.model.event.TimelineItemRedactedContent
 import io.element.android.features.messages.timeline.model.event.TimelineItemTextBasedContent
 import io.element.android.features.messages.timeline.model.event.TimelineItemUnknownContent
+import io.element.android.features.messages.timeline.model.virtual.TimelineItemDaySeparatorModel
 import io.element.android.features.messages.timeline.model.virtual.TimelineItemLoadingModel
 import io.element.android.libraries.designsystem.components.avatar.Avatar
 import io.element.android.libraries.designsystem.components.avatar.AvatarData
@@ -178,6 +180,7 @@ fun TimelineItemVirtualRow(
 ) {
     when (virtual.model) {
         is TimelineItemLoadingModel -> TimelineLoadingMoreIndicator(modifier)
+        is TimelineItemDaySeparatorModel -> TimelineItemDaySeparatorView(virtual.model, modifier)
         else -> return
     }
 }
@@ -351,22 +354,6 @@ internal fun BoxScope.TimelineScrollHelper(
     }
 }
 
-@Composable
-internal fun TimelineLoadingMoreIndicator(modifier: Modifier) {
-    Box(
-        modifier
-            .fillMaxWidth()
-            .wrapContentHeight()
-            .padding(8.dp),
-        contentAlignment = Alignment.Center,
-    ) {
-        CircularProgressIndicator(
-            strokeWidth = 2.dp,
-            color = MaterialTheme.colorScheme.primary
-        )
-    }
-}
-
 class MessagesItemGroupPositionToMessagesTimelineItemContentProvider :
     PairCombinedPreviewParameter<MessagesItemGroupPosition, TimelineItemEventContent>(
         TimelineItemGroupPositionProvider() to MessagesTimelineItemContentProvider()
diff --git a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemDaySeparatorView.kt b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemDaySeparatorView.kt
new file mode 100644
index 0000000000..0c57c9e242
--- /dev/null
+++ b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemDaySeparatorView.kt
@@ -0,0 +1,46 @@
+/*
+ * Copyright (c) 2023 New Vector Ltd
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package io.element.android.features.messages.timeline.components.virtual
+
+import androidx.compose.foundation.layout.Box
+import androidx.compose.foundation.layout.fillMaxWidth
+import androidx.compose.foundation.layout.padding
+import androidx.compose.foundation.layout.wrapContentHeight
+import androidx.compose.material3.Text
+import androidx.compose.runtime.Composable
+import androidx.compose.ui.Alignment
+import androidx.compose.ui.Modifier
+import androidx.compose.ui.unit.dp
+import io.element.android.features.messages.timeline.model.virtual.TimelineItemDaySeparatorModel
+
+@Composable
+internal fun TimelineItemDaySeparatorView(
+    model: TimelineItemDaySeparatorModel,
+    modifier: Modifier = Modifier
+) {
+    Box(
+        modifier
+            .fillMaxWidth()
+            .wrapContentHeight()
+            .padding(8.dp),
+        contentAlignment = Alignment.Center,
+    ) {
+        Text(
+            text = model.formattedDate
+        )
+    }
+}
diff --git a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemLoadingMoreIndicator.kt b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemLoadingMoreIndicator.kt
new file mode 100644
index 0000000000..7588192c6e
--- /dev/null
+++ b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/components/virtual/TimelineItemLoadingMoreIndicator.kt
@@ -0,0 +1,44 @@
+/*
+ * Copyright (c) 2023 New Vector Ltd
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package io.element.android.features.messages.timeline.components.virtual
+
+import androidx.compose.foundation.layout.Box
+import androidx.compose.foundation.layout.fillMaxWidth
+import androidx.compose.foundation.layout.padding
+import androidx.compose.foundation.layout.wrapContentHeight
+import androidx.compose.material.CircularProgressIndicator
+import androidx.compose.material3.MaterialTheme
+import androidx.compose.runtime.Composable
+import androidx.compose.ui.Alignment
+import androidx.compose.ui.Modifier
+import androidx.compose.ui.unit.dp
+
+@Composable
+internal fun TimelineLoadingMoreIndicator(modifier: Modifier = Modifier) {
+    Box(
+        modifier
+            .fillMaxWidth()
+            .wrapContentHeight()
+            .padding(8.dp),
+        contentAlignment = Alignment.Center,
+    ) {
+        CircularProgressIndicator(
+            strokeWidth = 2.dp,
+            color = MaterialTheme.colorScheme.primary
+        )
+    }
+}
diff --git a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/factories/virtual/TimelineItemDaySeparatorFactory.kt b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/factories/virtual/TimelineItemDaySeparatorFactory.kt
index 5bb213b617..00a36c06e5 100644
--- a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/factories/virtual/TimelineItemDaySeparatorFactory.kt
+++ b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/factories/virtual/TimelineItemDaySeparatorFactory.kt
@@ -18,14 +18,30 @@ package io.element.android.features.messages.timeline.factories.virtual
 
 import io.element.android.features.messages.timeline.model.virtual.TimelineItemDaySeparatorModel
 import io.element.android.features.messages.timeline.model.virtual.TimelineItemVirtualModel
+import kotlinx.datetime.Instant
+import kotlinx.datetime.TimeZone
+import kotlinx.datetime.toJavaLocalDateTime
+import kotlinx.datetime.toLocalDateTime
 import org.matrix.rustcomponents.sdk.VirtualTimelineItem
+import java.time.format.DateTimeFormatter
+import java.util.Locale
 import javax.inject.Inject
 
 class TimelineItemDaySeparatorFactory @Inject constructor() {
 
+    //TODO use proper formatter
+    private val locale: Locale = Locale.getDefault()
+
+    private val dateWithYearFormatter: DateTimeFormatter by lazy {
+        val pattern = android.text.format.DateFormat.getBestDateTimePattern(locale, "dd.MM.yyyy")
+        DateTimeFormatter.ofPattern(pattern)
+    }
+
     fun create(virtualItem: VirtualTimelineItem.DayDivider): TimelineItemVirtualModel {
+        val tsInstant = Instant.fromEpochMilliseconds(virtualItem.ts.toLong())
+        val tsDateTime = tsInstant.toLocalDateTime(TimeZone.currentSystemDefault())
         return TimelineItemDaySeparatorModel(
-            day = "${virtualItem.ts}"
+            formattedDate = dateWithYearFormatter.format(tsDateTime.toJavaLocalDateTime())
         )
     }
 }
diff --git a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/model/virtual/TimelineItemDaySeparatorModel.kt b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/model/virtual/TimelineItemDaySeparatorModel.kt
index e169033df3..c6e762a235 100644
--- a/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/model/virtual/TimelineItemDaySeparatorModel.kt
+++ b/features/messages/src/main/kotlin/io/element/android/features/messages/timeline/model/virtual/TimelineItemDaySeparatorModel.kt
@@ -17,5 +17,5 @@
 package io.element.android.features.messages.timeline.model.virtual
 
 data class TimelineItemDaySeparatorModel(
-    val day: String
+    val formattedDate: String
 ) : TimelineItemVirtualModel