Hip fashion firm All Saints has been saved from collapse after being bought by the owner of clothing retailers La Senza and American Apparel.

The move will save around 60 jobs in Glasgow and comes just days after it was reported that All Saints was facing administration.

The company moved into the former Borders bookshop on Buchanan Street, in May last year.

The 12,000 sq ft store – one All Saints' biggest – employs 60 staff.

Overall, the retailer employs about 2000 staff and has 62 stores and 45 concessions in the UK, Europe, US and Russia.

The sale, to a consortium led by Lion Capital, owner of the La Senza lingerie brand and American Apparel, took place yesterday.

The deal is understood to leave chairman, and owner, Kevin Stanford with a larger-than-expected 15% stake in the business.

All Saints began as a menswear brand, opening a store in London on All Saints' Day, November 1 1997.

It has now expanded across the UK to mainland Europe and America.

In its most recent financial year, the company had revenues of more than £200 million.

Mr Stanford, who also co-founded the Karen Millen chain with his ex-wife of the same name, said: "I'm pleased to have the support of two private equity firms to put All Saints on a solid financial footing."

All Saints was effectively put up for sale after nationalised Icelandic banks Kaupthing and Glitnir sought to realise some of their assets.

The banks came to own a majority stake in the business after the collapse of its previous owner, Baugur, an Icelandic investment group.

The new partnership is expected to ease some of the financial pressure on All Saints by paying off some of its £53 million debt pile.