STEEL group Liberty has announced an agreement with creditors to restructure its global debt.

The firm announced today, Tuesday, it had signed an agreement in principle with the main creditors of Greensill, which filed for insolvency last year.

As part of the deal, the parties have "adjourned the winding up petitions against Liberty entities".

Liberty said it was also "in the process of negotiating a similar term sheet for the debt restructuring of Liberty's European steel businesses".

The firm has operations in Newport and Tredegar. It did not say how much of its debt was being restructured.

"After several months of negotiations, we have now reached an agreement in principle that will provide recovery for the creditors and will significantly de-leverage and de-risk Liberty," said the steel group's chief transformation officer, Jeffrey Kabel.

"This is a major step forward in our restructuring and transformation and we will now work at pace with the creditors to prepare and execute the agreement."