Khazna Data Centres to Open $250 Million Data Centre in Egypt

Khazna Data Centres, one of the largest operators in the Middle East, plans to open a new $250 million data centre in Egypt, as well as considering acquisitions to enhance its portfolio amid a shifting digital landscape. The new data centre will be built at Maadi Technology Park in Cairo and is aimed at addressing the region’s underserved markets in terms of data capacity, with an expected capacity of 25 megawatts of IT load. Khazna is entering the Egyptian market with Cairo-based Benya Group and plans to expand its business in Saudi Arabia, Kuwait, and Morocco with the “right partners” via greenfield investments or acquisitions.

We plan to do organic [growth] or greenfield [investments], but in some cases we might do activities in which we acquire some existing players and try to expand from them

Khazna was created when the former Etisalat Group and Abu Dhabi artificial intelligence company G42 merged their data centres in 2021. Khazna’s expansion into Egypt will have a significant impact on attracting investments in high-density operations that support cloud systems and content operators, as well as encouraging major commercial companies to join a top-notch cloud complex. The company is also looking into three more markets in the Middle East and North Africa, such as Saudi Arabia, Kuwait, and Morocco, for further expansion.

The company’s next step will be expanding in North Africa and parts of Europe, said CEO Hassan Al Naqbi. They are not looking at markets that are already well served, including Central Europe and the US. In Asia, Khazna is seeking opportunities in Indonesia and the Philippines, with the latter being at the top of their list. Khazna currently operates 12 data centres across the UAE, with a total planned capacity of 300MW as the company aims to add another 12 over the next two years. The company has been growing steadily, and in the last three years, it has grown three or four times its normal growth.

Hassan Al Naqbi, chief executive of Khazna Data Centres, said the company is looking into three more markets in Mena: Saudi Arabia, Kuwait, and Morocco.

Khazna’s expansion in Egypt “will have a substantial impact on attracting investments in high-density operations that support cloud systems and content operators, as well as encouraging major commercial companies to join a top-notch cloud complex,” Ahmed Mekky, chairman and chief executive of Benya Group, said.