Both parties are reportedly in talks over a possible sale but details of any progress is, as yet, heavily guarded.

Speaking to Business Daily, investment secretary Esther Koimett said: "If ready within a month we will sign. But first we have to submit a paper to the Cabinet for approval."

2011 is already proving to be a busy year for the UK banknote printer. In January, French rival Oberthur withdrew its increased 935p-per-share bid for De La Rue and announced that it no longer intends to make an offer for the banknote printer.

Oberthur said it was disappointed that De La Rue's board had "so swiftly rejected" its increased proposal, of 935p per share, which the French firm believed to be "full and fair".

Later that month, it emerged that De La Rue's contract with the Reserve Bank of India (RBI) remained in limbo following the paper production problems experienced at the firm's Overton mill in 2010.