The trustees of financially struggling Lambuth University, in Tennessee, have tentatively approved an investment firm's offer to acquire the private institution, the university has announced.

The university said in a written statement that it would not reveal the buyer's identity until final details of the deal are complete. Lambuth's president, Bill Seymour, said he expects that to happen within a couple of days, in time for the university to meet a May 28 deadline for submitting revised documents to its accreditor, the Southern Association of Colleges and Schools' Commission on Colleges. The association, which placed Lambuth on probation last year, citing concerns about its financial health, will consider the change in ownership at its meeting next month.

Mr. Seymour told a local newspaper, The Jackson Sun, that as part of the deal, the new owner would add online course offerings but maintain the campus, along with its current faculty, staff, and governing board. The university has a projected enrollment of 550 students next fall, he said.

Lambuth, which was founded in 1843 and is affiliated with the United Methodist Church, has been searching for a potential buyer or partner for the past year, and at one point was in discussions about being acquired by the state. A year ago, the university made headlines for being unable to meet its payroll, and it was one of more than 100 private nonprofit institutions that failed the U.S. Department of Education's test of financial responsibility.