diff --git a/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js b/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
index 90e600e6e..918a9fa5f 100644
--- a/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
+++ b/packages/bruno-app/src/providers/ReduxStore/slices/collections/actions.js
@@ -1112,6 +1112,10 @@ export const handleCollectionItemDrop
       const draggedItemDirectory = findParentItemInCollection(sourceCollection, draggedItemUid) || sourceCollection;
       const draggedItemDirectoryItems = cloneDeep(draggedItemDirectory.items);
 
+      const sourceFormat = sourceCollection?.format || 'bru';
+      const targetFormat = collection?.format || 'bru';
+      const isCrossFormatMove = isCrossCollectionMove && sourceFormat !== targetFormat;
+
       const handleMoveToNewLocation = async ({
         draggedItem,
         draggedItemDirectoryItems,
@@ -1124,10 +1128,22 @@ export const handleCollectionItemDrop
         const { pathname: draggedItemPathname, uid: draggedItemUid } = draggedItem;
 
         const newDirname = path.dirname(newPathname);
-        await dispatch(moveItem({
-          targetDirname: newDirname,
-          sourcePathname: draggedItemPathname
-        }));
+
+        if (isCrossFormatMove && isItemARequest(draggedItem)) {
+          const { ipcRenderer } = window;
+          const result = await ipcRenderer.invoke('renderer:move-item-cross-format', {
+            targetDirname: newDirname,
+            sourcePathname: draggedItemPathname,
+            sourceFormat,
+            targetFormat
+          });
+          newPathname = result.newPathname;
+        } else {
+          await dispatch(moveItem({
+            targetDirname: newDirname,
+            sourcePathname: draggedItemPathname
+          }));
+        }
 
         // Update sequences in the source directory
         if (draggedItemDirectoryItems?.length) {
@@ -1191,6 +1207,11 @@ export const handleCollectionItemDrop
           if (!newPathname) return;
           if (targetItemPathname?.startsWith(draggedItemPathname)) return;
 
+          if (isCrossFormatMove && isItemAFolder(draggedItem)) {
+            toast.error('Moving folders between collections with different formats is not supported');
+            return;
+          }
+
           // Discard operation if dragging a root item to the collection name (same location)
           const isTargetTheCollection = targetItemPathname === collection.pathname;
           const isDraggedItemAtRoot = draggedItemDirectory === sourceCollection;
@@ -1210,6 +1231,11 @@ export const handleCollectionItemDrop
           } else {
             await handleReorderInSameLocation({ draggedItem, targetItemDirectoryItems, targetItem });
           }
+
+          if (isCrossCollectionMove) {
+            dispatch(closeTabs({ tabUids: [draggedItemUid] }));
+          }
+
           resolve();
         } catch (error) {
           console.error(error);
diff --git a/packages/bruno-electron/src/ipc/collection.js b/packages/bruno-electron/src/ipc/collection.js
index 323541dcc..5e08a5e6b 100644
--- a/packages/bruno-electron/src/ipc/collection.js
+++ b/packages/bruno-electron/src/ipc/collection.js
@@ -1448,6 +1448,40 @@ const registerRendererEventHandlers = (mainWindow, watcher) => {
     }
   });
 
+  ipcMain.handle('renderer:move-item-cross-format', async (event, { targetDirname, sourcePathname, sourceFormat, targetFormat }) => {
+    try {
+      if (!fs.existsSync(sourcePathname)) {
+        throw new Error(`Source path: ${sourcePathname} does not exist`);
+      }
+      if (!fs.existsSync(targetDirname)) {
+        throw new Error(`Target directory: ${targetDirname} does not exist`);
+      }
+
+      const sourceBasename = path.basename(sourcePathname);
+      const filenameWithoutExt = sourceBasename.replace(/\.(bru|yml|yaml)$/, '');
+      const targetExt = targetFormat === 'yml' ? 'yml' : 'bru';
+      const targetFilename = `${filenameWithoutExt}.${targetExt}`;
+      const targetPathname = path.join(targetDirname, targetFilename);
+
+      if (fs.existsSync(targetPathname)) {
+        throw new Error(`A file with the name "${targetFilename}" already exists in the target location`);
+      }
+
+      const sourceContent = await fs.promises.readFile(sourcePathname, 'utf8');
+      const parsedRequest = parseRequest(sourceContent, { format: sourceFormat });
+      const finalContent = stringifyRequest(parsedRequest, { format: targetFormat });
+
+      await writeFile(targetPathname, finalContent);
+      await removePath(sourcePathname);
+
+      moveRequestUid(sourcePathname, targetPathname);
+
+      return { newPathname: targetPathname };
+    } catch (error) {
+      return Promise.reject(error);
+    }
+  });
+
   ipcMain.handle('renderer:move-folder-item', async (event, folderPath, destinationPath) => {
     try {
       const folderName = path.basename(folderPath);
diff --git a/tests/collection/moving-requests/cross-collection-cross-format-drag-drop.spec.ts b/tests/collection/moving-requests/cross-collection-cross-format-drag-drop.spec.ts
new file mode 100644
index 000000000..dcb2d7f7d
--- /dev/null
+++ b/tests/collection/moving-requests/cross-collection-cross-format-drag-drop.spec.ts
@@ -0,0 +1,59 @@
+import { test, expect } from '../../../playwright';
+import { closeAllCollections } from '../../utils/page';
+import * as path from 'path';
+import * as fs from 'fs';
+
+test.describe('Cross-Format Collection Drag and Drop', () => {
+  test.afterEach(async ({ pageWithUserData: page }) => {
+    await closeAllCollections(page);
+  });
+
+  test('Cross-format drag and drop should convert request between bru and yml', async ({
+    pageWithUserData: page,
+    collectionFixturePath
+  }) => {
+    const requestName = 'cross-format-request';
+
+    // Both collections should already be loaded via init-user-data
+    await expect(page.locator('#sidebar-collection-name').filter({ hasText: 'bru-collection' })).toBeVisible();
+    await expect(page.locator('#sidebar-collection-name').filter({ hasText: 'yml-collection' })).toBeVisible();
+
+    // Expand the bru collection and locate the request
+    await page.locator('#sidebar-collection-name').filter({ hasText: 'bru-collection' }).click();
+    const bruCollectionContainer = page
+      .locator('.collection-name')
+      .filter({ hasText: 'bru-collection' })
+      .locator('..');
+    const bruRequest = bruCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName }).first();
+    await expect(bruRequest).toBeVisible();
+
+    // Drag the .bru request into the yml collection
+    const ymlCollection = page.locator('.collection-name').filter({ hasText: 'yml-collection' });
+    await bruRequest.dragTo(ymlCollection);
+
+    // Verify the request appears in the yml collection (increase timeout for file watcher processing)
+    const ymlCollectionContainer = page
+      .locator('.collection-name')
+      .filter({ hasText: 'yml-collection' })
+      .locator('..');
+    // The yml collection may need to be expanded after the drop
+    const ymlCollectionItems = ymlCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName });
+    // Wait for file watcher to process the new file, then expand collection if needed
+    await expect(async () => {
+      if (await ymlCollectionItems.count() === 0) {
+        await page.locator('#sidebar-collection-name').filter({ hasText: 'yml-collection' }).click();
+      }
+      await expect(ymlCollectionItems).toBeVisible();
+    }).toPass({ timeout: 15000 });
+
+    // Verify the request is no longer in the bru collection
+    await page.locator('#sidebar-collection-name').filter({ hasText: 'bru-collection' }).click();
+    await expect(bruCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName })).toHaveCount(0);
+
+    // Verify the file was converted to .yml format on disk
+    const ymlFile = path.join(collectionFixturePath!, 'yml-collection', `${requestName}.yml`);
+    const bruFile = path.join(collectionFixturePath!, 'yml-collection', `${requestName}.bru`);
+    expect(fs.existsSync(ymlFile)).toBe(true);
+    expect(fs.existsSync(bruFile)).toBe(false);
+  });
+});
diff --git a/tests/collection/moving-requests/cross-collection-drag-drop-request.spec.ts b/tests/collection/moving-requests/cross-collection-drag-drop-request.spec.ts
index d2f46f59f..a3f8b4ecd 100644
--- a/tests/collection/moving-requests/cross-collection-drag-drop-request.spec.ts
+++ b/tests/collection/moving-requests/cross-collection-drag-drop-request.spec.ts
@@ -98,4 +98,40 @@ test.describe('Cross-Collection Drag and Drop', () => {
     await page.locator('#sidebar-collection-name').filter({ hasText: 'target-collection' }).click();
     await expect(targetCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName }).first()).toBeVisible();
   });
+
+  test('Tab should be closed after cross-collection drag and drop', async ({ page, createTmpDir }) => {
+    const requestName = 'tab-close-request';
+
+    // Create source and target collections
+    await createCollection(page, 'source-collection', await createTmpDir('source-collection'));
+    await createRequest(page, requestName, 'source-collection', { url: 'https://echo.usebruno.com' });
+
+    await createCollection(page, 'target-collection', await createTmpDir('target-collection'));
+
+    // Open the request to create a tab
+    const sourceCollectionContainer = page
+      .locator('.collection-name')
+      .filter({ hasText: 'source-collection' })
+      .locator('..');
+    const sourceRequest = sourceCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName }).first();
+    await sourceRequest.click();
+
+    // Verify the tab is open
+    const requestTab = page.locator('.request-tab .tab-label').filter({ hasText: requestName });
+    await expect(requestTab).toBeVisible();
+
+    // Drag the request to target collection
+    const targetCollection = page.locator('.collection-name').filter({ hasText: 'target-collection' });
+    await sourceRequest.dragTo(targetCollection);
+
+    // Verify the tab is closed after cross-collection move
+    await expect(requestTab).not.toBeVisible();
+
+    // Verify the request appears in the target collection
+    const targetCollectionContainer = page
+      .locator('.collection-name')
+      .filter({ hasText: 'target-collection' })
+      .locator('..');
+    await expect(targetCollectionContainer.locator('.collection-item-name').filter({ hasText: requestName })).toBeVisible();
+  });
 });
diff --git a/tests/collection/moving-requests/fixtures/collections/bru-collection/bruno.json b/tests/collection/moving-requests/fixtures/collections/bru-collection/bruno.json
new file mode 100644
index 000000000..d4d9fb4bc
--- /dev/null
+++ b/tests/collection/moving-requests/fixtures/collections/bru-collection/bruno.json
@@ -0,0 +1,5 @@
+{
+  "version": "1",
+  "name": "bru-collection",
+  "type": "collection"
+}
diff --git a/tests/collection/moving-requests/fixtures/collections/bru-collection/cross-format-request.bru b/tests/collection/moving-requests/fixtures/collections/bru-collection/cross-format-request.bru
new file mode 100644
index 000000000..6c6989a1e
--- /dev/null
+++ b/tests/collection/moving-requests/fixtures/collections/bru-collection/cross-format-request.bru
@@ -0,0 +1,11 @@
+meta {
+  name: cross-format-request
+  type: http
+  seq: 1
+}
+
+get {
+  url: https://echo.usebruno.com
+  body: none
+  auth: none
+}
diff --git a/tests/collection/moving-requests/fixtures/collections/yml-collection/opencollection.yml b/tests/collection/moving-requests/fixtures/collections/yml-collection/opencollection.yml
new file mode 100644
index 000000000..c978cb7aa
--- /dev/null
+++ b/tests/collection/moving-requests/fixtures/collections/yml-collection/opencollection.yml
@@ -0,0 +1,3 @@
+opencollection: "1"
+info:
+  name: yml-collection
diff --git a/tests/collection/moving-requests/init-user-data/collection-security.json b/tests/collection/moving-requests/init-user-data/collection-security.json
new file mode 100644
index 000000000..e015276c4
--- /dev/null
+++ b/tests/collection/moving-requests/init-user-data/collection-security.json
@@ -0,0 +1,16 @@
+{
+  "collections": [
+    {
+      "path": "{{collectionPath}}/bru-collection",
+      "securityConfig": {
+        "jsSandboxMode": "safe"
+      }
+    },
+    {
+      "path": "{{collectionPath}}/yml-collection",
+      "securityConfig": {
+        "jsSandboxMode": "safe"
+      }
+    }
+  ]
+}
diff --git a/tests/collection/moving-requests/init-user-data/preferences.json b/tests/collection/moving-requests/init-user-data/preferences.json
new file mode 100644
index 000000000..cdc98904c
--- /dev/null
+++ b/tests/collection/moving-requests/init-user-data/preferences.json
@@ -0,0 +1,12 @@
+{
+  "lastOpenedCollections": [
+    "{{collectionPath}}/bru-collection",
+    "{{collectionPath}}/yml-collection"
+  ],
+  "preferences": {
+    "onboarding": {
+      "hasLaunchedBefore": true,
+      "hasSeenWelcomeModal": true
+    }
+  }
+}