Hudson Jeans, a West Coast denim company that does more than $60 million in volume, has been approached by numerous potential bidders, including Fireman Capital Partners, but the firm is willing to wait for the right price and partner, according to Hudson president and chief executive officer Peter Kim. Fireman Capital declined comment.

"Obviously, for the right price, anything is for sale," Kim said. "But our business is good—we're actually on track to grow this year—and we don't need to sell if there's not a substantial opportunity."

A few big players may go on the block as the economy pushes them into bankruptcy—or pre-bankruptcy looking to be saved through investment—as has already happened this year for suit maker Hartmarx Corp. Numerous companies have expressed interest, including Bagir.

The cash-rich Bagir is potentially interested in making several acquisitions this year. In addition to eyeing the multibranded suit maker, Bagir would like to buy a knit-shirting-blouse company to help in its expansion beyond suits to tops, according to company executives.

"It's like antique shopping," said Tim Danser, Bagir vice president of marketing. "If you go in looking for one specific thing, you'll overpay. We're out looking for good deals on good companies."

Bagir isn't the only manufacturer looking to expand its business in these contracting times through a well-priced acquisition.

"Companies have lost volume and are looking to recover it through an acquisition when they have a strong balance sheet," said Jack Hendler, Net Worth Solutions Inc. president. "As the channels of distribution are shrinking, where do we put the product? We try to help pair them with a company that has distribution that they don't."

For example, he said a $500 million vendor is looking to buy a company that has distribution at Kohl's. Another trend he foresees is retailers and vendors linking up for a vendor's brand to step in as the retailer's private label, as stores seek higher margins and find their credit restricted. For example, he said a 50-door chain based out of Boston is looking for a casual women's wear resource.

Kellwood has been searching for acquisitions for months, particularly a denim company to create a competency in that category that its other brands could leverage. At the same time Kellwood explores selling Hollywould, the Sun Capital Partners-owned firm is said to be eyeing a mainstream-priced West Coast denim company, as well as Joe's Jeans Inc., which has been trading for about 30 cents a share and has about 60 million outstanding shares. Kellwood declined to comment on which companies it is in talks with. Other companies are said to be interested in Joe's as well.

A spokesman for Phillips-Van Heusen said the company was still eyeing strategic acquisitions, with a cash position that is strong enough to weather the economic storm even with the purchase. Still, he noted, "the economy factors into all decisions today."

Fashionology co-founder William Sweedler said the company receives several calls a day from companies looking for investors, and Fashionology is in talks to buy a profitable men's brand and a profitable accessories brand, being cautious about distressed firms.

"Investing in fashion can be a dangerous business," said Sweedler. "For the first time, I'm questioning free [not paying for the brand, just assuming ongoing costs]—which is what a lot of companies are going for right now. We're not in deal mode—we're in opportunistic mode—but our primary focus has to be on operating our existing business."