Khazna Data Centres, one of the largest operators of data centres in the Middle East, is set to expand its operations in Egypt and is considering acquisitions to bolster its portfolio in the rapidly changing digital landscape. The company plans to invest $250 million to build a new data centre at Maadi Technology Park in Cairo with a capacity of 25 MW of IT load, to meet the demand for data capacity in the region. Hassan Al Naqbi, Khazna’s CEO, said the move into Egypt is part of the company’s expansion strategy to become a regional and global player.
Khazna is targeting emerging markets where data and cloud concentration is shifting and plans to use greenfield investments, organic growth, and acquisitions to expand its presence. The company is already in talks with several countries and is eyeing three more markets in the MENA region, including Saudi Arabia, Kuwait, and Morocco. Al Naqbi said talks with Saudi Arabia, the largest economy in the Arab world, are at a high level, and a specific time frame for entry will be announced once an agreement is finalised.
In addition to the MENA region, Khazna is looking to expand its operations in North Africa and parts of Europe. Al Naqbi said the company will not target markets that are already well served, such as Central Europe and the US. The company is also looking to enter Asia, with a focus on Indonesia and the Philippines. Al Naqbi said the Philippines is at the top of the list, as it has a young generation using data, but it is not well-connected from a broadband perspective due to its many islands.
Currently, Khazna operates 12 data centres across the UAE, with a total planned capacity of 300 MW. The company aims to add another 12 data centres over the next two years. One of these data centres will be a flagship facility in Abu Dhabi’s Masdar City with a capacity of 30 MW, which will come online in July. Another 21 MW data centre is being developed at Dubai Design District and is set to be operational in October. Al Naqbi said the remaining capacity will be delivered before the end of 2024.
The CEO said Khazna has been growing steadily, with a growth rate three or four times higher than its previous years. The company was formed when the former Etisalat Group and Abu Dhabi AI firm G42 merged their data centres in 2021. Khazna’s expansion into Egypt is expected to have a substantial impact on attracting investments in high-density operations that support cloud systems and content operators.
