The U.S.-based operator of Forever 21 was preparing to close at least 200 more locations as part of a bankruptcy process expected to kick off as soon as next month, Bloomberg News reported Wednesday, citing people with knowledge of the matter.

The potential bankruptcy is also looking for a buyer for the retailer's remaining stores. However, if no qualified buyer emerges, Forever 21 would likely liquidate its entire chain of about 350 stores, the report added.

The Forever 21 trademark and intellectual property are owned by apparel chain operator Authentic Brands, which licenses them to Catalyst Brands, currently undergoing a Chapter 11 process, Bloomberg said.

Catalyst Brands is a company that was formed this January from the merger of JCPenney and SPARC Group. According to Catalyst Brands' website, it operates SPARC Group's brands Aéropostale, Eddie Bauer, Lucky Brand and Nautica.

The shareholders of Catalyst Brands include Simon Property Group, Brookfield Corporation, Authentic Brands Group and Shein.

Authentic Brands' ownership of the Forever 21 brand would remain intact through any bankruptcy process, Bloomberg said.

It plans to license Forever 21 to other existing retailers and distributors regardless of the outcome of Catalyst Brands' potential sale or liquidation in bankruptcy, one of the people told Bloomberg.

Forever 21, Catalyst Brands and Authentic Brands did not immediately respond to Reuters' requests for comment.