Kenyan oil marketing conglomerate, KenolKobil announced on Monday details of an agreement with Puma Energy, with the latter seeking to buy a majority stake in the company.

According to reports, Puma Energy has entered into an exclusive agreement with key shareholders of Kenya’s KenolKobil. If the deal goes through, Puma Energy, a subsidiary of  Trafigura Beheer B.V., will become a major stakeholder in the potentially huge Kenyan Oil and Gas sector

A statement by KenolKobil however hints that the deal is subject to due diligence, regulatory approval and price confirmation.

It also said in a statement that: “Should the transaction proceed, Puma Energy would comply with the requirements of the regulations … and contemplates making a takeover offer to acquire all the shares in the company”

KenolKobil, which operates in 10 African countries, raised its pre-tax earnings by 74 per cent last year to 4.9 billion shillings ($59 million).  According to the it’s website, the company prides itself in the African people whose interests it continue to advance.