Xella International S.A. (Xella) has sold its business unit Fels to an industrial buyer based in Europe. The deal is still awaiting approval from the responsible competition authorities. "As part of our portfolio strategy Xella will concentrate on value-enhancing construction product solutions with highly profitable growth in Europe and on sustainability," said Dr Jochen Fabritius, CEO of the Xella Group. In this regard Xella has concluded an agreement with the investment company KKR and other shareholders to acquire the insulation manufacturer URSA. Once the deal is complete, URSA will continue to operate under the umbrella of the Xella Group as an autonomous business unit. URSA was created in 2003 by the merger of the former insulation division of Pfleiderer and Poliglas as a subsidiary of the Spanish Uralita Group. Based in Madrid since 2006, it is the third largest insulation manufacturer in Europe.