Alfonso Gallardo Group is to sell its cement and paper business to focus on the iron and steel sector to ensure its viability, according to a statement by the group. The company signed a refinancing agreement with the majority creditor banks and venture capital firm Kohlberg Kravis Roberts (KKR).

The group will divest from Cementos Balboa, located in Alconera (Badajoz), as well as Papresa in Rentería (Guipúzcoa), and reduce its debt by around EUR500m.