Image Entertainment

(DISK)

, a distributor of movies on DVD and audio CDs, hired investment bank Lazard Freres to serve as its financial adviser while it explores alternatives for its business.

The Chatsworth, Calif., company said Monday that it will examine all the potential strategic and financial opportunities that are available in order to maximize its long-term value.

"We have asked Lazard to conduct a thorough review of Image's businesses and its strategic options, and to work with us to properly assess the best course for the company and all its stockholders," the company said.

Shares of Image were up 13 cents, or 3.5%, to $3.83.