Spain: Grupo Alfonso Gallardo has signed an agreement to sell its cement subsidiary, Cementos Balboa, and its paper subsidiaries to venture capital firm Kohlberg Kravis Roberts (KKR). Under the terms of the deal, KKR will refinance a Euro500m loan to Grupo Alfonso Gallardo, which will concentrate on its core steel production activities.
The transaction led to the completion of the restructuring project launched by Grupo Alfonso Gallardo in 2012, destined to reinforce its financial position and refinance a debt worth Euro1.5bn.
Cementos Balboa runs a 1.6Mt/yr cement plant in Alconera, Badajoz. The plant started production in 2005.