Carrefour is in discussions to buy French regional retailer Coop Alsace.

The world's second-largest retailer wants to keep the Coop Alsace name and maintain the "specific Alsatian nature" of the co-operative retailer's product range.

Coop Alsace has 144 stores in the region. According to local reports, the retailer, which also owns cafes, may hang on to some of the outlets.

The co-operative was reportedly close to bankruptcy in 2011 and undertook a restructuring of the business. In August, the retailer sold a clutch of stores to another French retailer E. Leclerc.

Coop Alsace's stores currently include Casino own-label lines in its product range.

Carrefour would not comment further on the negotiations.