Egyptian state-owned telecom operator Telecom Egypt (ETEL: EGX) plans to complete the sale of its data centre assets to Helios Investment Partners in Q1 2026 in a deal that will cost $230-260mn, Al Borsa reported on November 26.
The firm’s previous target was to close the deal by the end of 2025.
It is currently finalising the legal procedures for the transaction in coordination with advisers from both sides. Discussions now focus on the final terms of the shareholders’ agreement and the share purchase agreement, following the approval of the independent financial advisor’s fair value report, an essential requirement for securing final regulatory approval.
According to the sources, a significant portion of the proceeds will be allocated to debt reduction, as Telecom Egypt pursues an ambitious plan to fully settle its liabilities within four years and shift from a net-debt to a net-cash position. The transition is expected to strengthen profitability, with improved financial results anticipated starting in 2026.
Egyptian-pound–denominated debt currently represents around 52% of the company’s total obligations. The sources added that Telecom Egypt intends to invest EGP 20–22bn in capital expenditures this year, with spending expected to decline by about EGP 2bn in 2026.
Telecom Egypt has recently announced the completion of the core 2Africa subsea cable infrastructure, a major global connectivity project in which Telecom Egypt is a key consortium member. 2Africa is the first submarine cable to directly connect East and West Africa within a single integrated system, linking the African continent with the Middle East, South Asia, and Europe. The cable will provide high-speed internet access to over 3bn (more than 30% of the global population) through landings in more than 33 countries.
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