American Apparel has hired an investment bank to consider its strategic options including a sale of the company, according to reports.

Sources close to the situation said American Apparel, known for its provocative ads, had hired investment bank Moelis & Company to review the retailer’s present capital structure while also exploring interest from potential buyers, according to fashion news site WWD.

American Apparel also reportedly received a buyout offer from private equity firm Irving Place.

The retailer admitted that a buyer had expressed interest in acquiring the company but did not identify the party.

In a statement, the retailer said: “The board takes these matters seriously, and it will evaluate this proposal in the ordinary course of business. The company remains focused on positioning American Apparel for a successful turnaround.”

The appointment follows the departure of controversial chief executive Dov Charney in December after a six-month suspension over allegations of sexual misconduct.

Retail veteran Paula Schneider, who has previously worked at retail and clothing firms Warnaco, Gores Group and BCBG Max Azria, replaced Charney today. Schneider is the retailer’s first female boss.

American Apparel operates 245 stores in 20 countries and has about 10,000 employees.