Paris, France: French retailer and luxury goods giant PPR is in talks to make a large acquisition in the luxury sector, La Tribune reported on Monday, citing an unnamed internal source.

Possible targets include Hugo Boss, controlled by private equity firm Permira, Burberry and Polo Ralph Lauren, but Italian fashion house Prada, which is pricing its initial public offering in Hong Kong, could actually be the most likely target, the newspaper said.

Any such deal could only happen once PPR succeeds in finding buyers for its catalogue business Redcats and books and electronics retailer FNAC, along with the sale of its remaining stake in African distribution business CFAO, the newspaper said.

PPR, which last month agreed to buy surfing-inspired clothing firm Volcom for US$607.5 million ($748.08 million), declined to comment on the report.