Hudson's Bay in talks to buy Neiman Marcus, reports say

Canadian department store chain Hudson's Bay has entered into negotiations over the acquisition of Nieman Marcus, a rival US luxury chain.

The Texas-based retailer shelved plans for an initial public offering in January, after applying to go public in 2015. It is currently owned by Canadian Plan Investment Board and Ares Management.

According to a report from the Wall Street Journal, Hudson's Bay is seeking a deal for the merger which will not include debt.

Neiman Marcus has followed the industry trend of struggling to keep up with online retailers, after it admitted during its financial results release on Tuesday that it was working with financial advisers to review its options.

The company wrote down its brand and other assets by $153.8m during the last quarter.

Recent speculation had suggested Hudson's Bay was exploring the possibility of acquiring another struggling US luxury department store, Macy's.