The goal for the once iconic retailer of appliances for American homes is to stay open until Christmas in the hope of finding a 'White Knight' buyer who can save Sears, which is teetering on the brink of a bankruptcy filing.
As part of the deal, Sears would close some of its stores immediately with the exact number being negotiated and the impact on its 90,000 workers uncertain, the report said.
The retailer is trying to initially raise $300 million to $500 million to support holiday operations and that amount could well increase over time, it added.
Sears has not finalized a buyer for the business and will likely seek one after it files for bankruptcy.
Brick-and-mortar retailers such as Sears have fallen on hard times. The company's dominance a few decades ago mirrors that of Amazon.com Inc (NASDAQ:AMZN), which now sits astride as the behemoth of the US retail industry.
Shares of Sears were trading 25.31% higher at US$0.4287 by midday on Friday. On May 1, 2015, the shares traded at $42.95.
Reporting by Rene Pastor, contactable on [email protected]