Helios to Acquire Majority Stake in Telecom Egypt’s Data Centre Business
Telecom Egypt has approved a binding offer from Helios Investment Partners to acquire a controlling stake in its Regional Data Hub (RDH), marking one of the biggest infrastructure moves in the region’s digital economy.
Helios, a leading Africa-focused private equity firm, is set to take between 75% and 80% ownership of RDH, a newly established subsidiary that houses Telecom Egypt’s data centre assets. The valuation for the deal places RDH at USD 230 million, with the potential to rise to USD 260 million if key performance milestones are achieved. Telecom Egypt will retain a minority stake of between 20% and 25%.
A growing regional hub
The Regional Data Hub is a multi-phase campus located in Cairo. Its first phase launched in 2021 with an initial IT load of 2.5 MW, which reached full utilisation within a year. The second phase, RDH2, is now under development, designed to add 4.6 MW of capacity. It has already received Tier III Design Certification from the Uptime Institute and is registered under LEED standards, positioning it as a state-of-the-art facility for the region.
This move signals Egypt’s growing importance as a strategic digital infrastructure hub, benefiting from its geographic position and connectivity through multiple subsea cables that link Africa, Europe, and Asia.
The structure of the deal
Telecom Egypt’s board has given preliminary approval to the binding offer, but the transaction remains subject to several conditions. These include the formal restructuring of RDH into a dedicated subsidiary, regulatory approvals, compliance with Egyptian Exchange listing and delisting rules, and a fair valuation assessment by an independent advisor.
EFG Hermes is acting as the sole financial advisor for Telecom Egypt, while ADSERO-Ragy Soliman & Partners and A&O Shearman are serving as legal counsel.
Why it matters
For Telecom Egypt, the deal offers a capital injection and reduces operational risk while maintaining a strategic interest in RDH. For Helios, it provides entry into a high-growth infrastructure asset with long-term demand driven by cloud adoption, AI workloads, and regional digitalisation.
The transaction also reflects a wider trend of private equity and infrastructure funds targeting Africa’s digital economy. Data centres in particular have emerged as attractive assets, given the continent’s increasing demand for reliable cloud and storage capacity.
If successful, this partnership could accelerate Egypt’s position as a regional data hub and set the stage for further investment in African digital infrastructure.
