According to Reuters and other sources, Hudson's Bay is in talks with Signa of Austria over a joint venture with Karstadt, owned by Signa. Earlier this year, Hudson's Bay rejected a €3bn bid for Kaufhof. The joint venture would involve Karstadt acquiring half of Kaufhof's property company and 51% of its operating company with the option to buy the rest at a later date. In the meantime, labour representatives are in discussion with Kaufhof management on a restructuring deal.