Reuters has heard that Hudson’s Bay, the large Canadian operator of department stores, may be interested in buying Galeria Kaufhof, the subsidiary of Metro which runs some 127 department stores and 13 specialty sports shops in Germany and Belgium. It was said, however, that talks are still at an early stage.
The possible Kaufhof sale is not a new story, it has surfaced previously. There have been rumors that Kaufhof might merge with its troubled competitor Karstadt. Most recently, though, Metro showed little interest in divesting its department store arm after the chain performed reasonably well. Last year, Kaufhof had sales of €3.1 billion.
Hudson’s Bay is quite an old company that was founded back in 1670 and operates 90 department stores in Canada. It also controls U.S. retailer Saks Fifth Avenue.