Bed Bath & Beyond is reportedly in talks with the firm that was trying to buy Kohl’s.

Bed Bath & Beyond is in talks with private equity firm Sycamore Partners to sell its assets, including Baby Buy stores, as part of a possible bankruptcy process, The New York Times reported Friday, citing people familiar with the matter.

The company is also in talks with other bidders about possible deals, the report said.

Bed Bath & Beyond said it does not “comment on this sort of speculation” and reiterated its previous statement that it is exploring multiple avenues. Sycamore Partners declined to comment.

Shares of Bed Bath & Beyond fell 12% in the middle of the day amid weakness in the market as a whole. Shares have risen for four consecutive sessions this week and closed 50% higher on Thursday.

The troubled home goods retailer reported a larger-than-expected quarterly loss and falling sales on Tuesday after saying last week it was exploring options, including bankruptcy, as it struggles with a dwindling cash flow.

New Jersey-based Union previously considered selling its Baby Baby stores due to shareholder pressure but held back, hoping it could get a higher price later, Reuters reported.

Buybuy Baby, a chain of stores that sells products for babies and toddlers, helped Bed Bath & Beyond secure a $375 million loan last year.

New York-based Sycamore invests in consumer goods firms and retailers. She made headlines last year with a takeover bid for Kohl’s department store chain.