Swiss commodity company Trafigura is reportedly planning to offload its stake of 24.5% in Indian oil refining joint venture with Russia’s Rosneft.

The stake in Nayara Energy (formerly known as Essar Oil) is planned to be divested to Italy’s Genera Group, reported Reuters citing people familiar with the commodity trading firm’s plans.

Trafigura and Russian investment group United Capital Partners (UCP) own 49.84% stakes each in Singapore-based Tendril Ventures.

Tendril’s wholly owned subsidiary Kesani holds a 49.13% stake in Nayara Energy while Rosneft’s Singapore unit owns a 49.13% stake. The remaining stake is held by public shareholders.

Nayara CEO Alois Virag was cited by the news agency as saying in a letter to its lenders earlier this month: “We have been informed that Trafigura proposes to sell its shareholding in Tendril to a third party; being Genera Group Holding SPA.”

In a letter seen by Reuters, Virag said: “As a result of the proposed transfer, Trafigura will cease to hold an indirect shareholding in Kesani and hence also in the borrower (Nayara).”

Genera, through Tendril and Kesani, will have a stake of 24.5% in Nayara following the completion of the potential transaction.

According to sources, Genera is seeking permission from the anti-trust regulator Competition Commission of India (CCI) to acquire Trafigura’s stake in Nayara.

Nayara Energy, on the other hand, has written to its local and global lenders, requesting a no-objection certificate.

The lenders include Punjab National Bank, HDFC Bank, State Bank of India, Axis Bank, Canara Bank, Citibank, ICICI Bank, and Barclays.

Nayara Energy owns a refinery, a port and a network of more than 6,000 fuel stations across India.