American Apparel (asi/35297) has rejected a $300 million bid by former CEO and Founder Dov Charney, according to multiple published reports. On Monday, a trio of private equity firms announced they had partnered with Charney and submitted an offer to purchase the apparel company, which had filed for bankruptcy in October.

If Charney and the firms still wish to purchase the company, their options include increasing the amount of their offer, or convincing a judge to reject the current restructuring plan backed by American Apparel’s lenders. As part of its Chapter 11 bankruptcy filing, the company is scheduled to appear in court on Wednesday, January 20 to seek approval of its plan.

Most of American Apparel’s creditors have committed to the company’s restructuring plan. However, a source told Bloomberg Business that the company’s board remains open to an improved offer from Charney’s investor group.

The investor group – made up of Hagan Capital Group, Silver Creek Capital Partners and a third silent partner – that submitted the offer said its bid was superior to American Apparel’s current plan to reduce debt, and that its $300 million offer was more than the company’s value as listed in bankruptcy disclosures. Under the group’s plan, Charney would have been reinstalled as co-CEO.