In a significant shift for Egypt’s digital infrastructure, Telecom Egypt has signaled a major realignment of its data center ambitions. The company’s board has granted preliminary approval for Helios Investments to acquire a controlling 75 to 80 percent stake in a subsidiary that will operate the Regional Data Hub (RDH).
The move is more than a routine investment. Telecom Egypt is restructuring assets to consolidate its cloud and data center operations under one roof.
The RDH, a cornerstone project for the operator, is poised to serve as a regional hub for enterprise cloud services and hosting solutions, a sector that has gained momentum across North Africa and the Middle East.
Helios Investments’ binding offer values the RDH at USD 230 million on a debt-free, cash-free basis, with the potential to rise to USD 260 million if agreed-upon performance targets are met. To safeguard transparency and ensure a fair deal, Telecom Egypt has appointed an independent financial advisor to assess the RDH’s valuation and confirm the subsidiary’s market positioning.
Completion of the transaction is contingent on several steps, including finalizing agreements, completing the ongoing asset restructuring, and securing regulatory and corporate approvals. The process also requires meeting the requirements of the Egyptian Exchange and obtaining necessary endorsements from local authorities.
For Telecom Egypt, the deal represents an opportunity to inject fresh capital into its data center operations while leveraging Helios’ investment expertise to expand RDH’s footprint. For Helios, the acquisition offers a stake in one of Egypt’s most strategic digital assets, aligning with the broader trend of private equity firms seeking high-growth technology infrastructure investments in the region.
As demand for cloud storage, enterprise hosting, and digital services continues to climb, the RDH project could set a precedent for similar partnerships between telecommunications operators and investment firms. Analysts note that Egypt’s data center market is maturing rapidly, and strategic investments like this are key to positioning the country as a regional technology hub.
Telecom Egypt’s careful approach — combining internal restructuring with external investment — reflects a broader shift in the telecom sector, where operators are increasingly monetizing infrastructure while focusing on core network services. The RDH acquisition is more than a financial transaction; it’s a statement about the company’s commitment to scaling digital infrastructure in Egypt and beyond.
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