• Telecom Egypt board preliminarily approves Helios’ binding offer to acquire 75–80% stake in subsidiary owning Regional Data Hub.
• Helios’ offer values RDH at USD 230M, potentially rising to $260m based on performance-linked KPIs in final agreements.
• Telecom Egypt to retain 20–25% stake; EFG Hermes serves as sole financial advisor, with ADSERO and A&O Shearman as legal counsel.

Telecom Egypt

Telecom Egypt, telecom services provider in Egypt, announced that its Board of Directors granted its preliminary approval of the binding offer submitted by Helios Investments to acquire a stake ranging from 75% to 80% in a subsidiary that will own the Regional Data Hub (RDH). 

Established in 2004, Helios Investment Partners is an Africa-focused private investment firm with offices in London, Paris, Lagos, and Nairobi. The firm backs start-ups and growth companies across the continent, leveraging its local expertise and networks to build market leaders.

Regional Data Hub

The subsidiary owned by the two parties will engage in the business of data center development in Egypt. This will follow the restructuring of these assets in a subsidiary, in accordance with the relevant procedures. 

Upon completion, Helios Investments’ share shall range from approximately 75% to 80% stake in the subsidiary. Meanwhile Telecom Egypt will retain approximately a 20% to 25% stake. 

The Board also approved signing the term sheets relating to the terms and conditions of the transaction. Additionally, it approved the appointment of an independent financial advisor,registered with the FRA to determine the fair value of RDH.

The binding offer submitted by Helios Investments comprises an aggregate valuation of 100% of RDH on a debt-free, cash-free basis of USD 230 million. It  could reach up to USD 260 million, subject to the satisfaction of certain pre-agreed KPls, as will be outlined in the definitive agreements.

Completion of the transaction will be subject to the agreement on the terms and conditions of the final definitive agreements and its execution. 
EFG Hermes, an EFG Holding company and MENA’s leading investment bank, is acting as the sole M&A financial advisor on the transaction. Additionally, ADSERO-Ragy Soliman & Partners, and A&O Shearman are acting as the legal advisors for Telecom Egypt.