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American Apparel
A screen shot from American Apparel’s website. (American Apparel Photo)

Amazon’s big push into apparel could get even bigger based on a new report that says the Seattle-based online retail giant is among those interested in acquiring bankrupt American Apparel.

Reuters reported Wednesday that sources familiar with talks put Amazon and teen chain Forever 21 in the mix when it comes to those who may make offers for the Los Angeles-based company at a bankruptcy auction. California-based Next Level Apparel and brand licensor Authentic Brands Group LLC were also named as interested parties.

Reuters reported that any successful bid would have to top a $66 million stalking horse bid by Canadian apparel maker Gildan Activewear Inc, which American Apparel agreed to when it filed for bankruptcy in November.

None of the companies named commented in the Reuters report.

American Apparel was founded in the late 1990s and its “sweatshop-free” and “Made in the USA” branding set the company apart from most U.S. clothing makers who had moved manufacturing offshore. The company says it employs more than 4,000 workers in Southern California.

American Apparel filed for bankruptcy for the first time in 2015 and again last November, with debt of $177 million, Reuters reported.

Amazon has been making plenty of news with its efforts related to being a major player in fashion. A report last October said the company was expected to become the biggest clothing retailer in the U.S. in 2017, moving ahead of Macy’s.

And Wednesday morning, GeekWire reported that Amazon may be looking to get into the “active apparel” market with its own line of workout clothes.

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