Raya Holding for Financial Investments, a Cairo-based conglomerate and key player in the Egyptian investment landscape, led by tycoon Medhat Khalil, has approved up to $60 million to finance the proposed acquisition of a 100% stake in an Egyptian data center facility.

The acquisition has not yet been completed, with the funding approval remaining conditional on the successful award of the transaction to Raya Integration and/or Raya Data Center and the completion of required transaction documents and regulatory approvals.

Raya Holding backs data center expansion

According to a board resolution approved on September 23, 2026, Raya Integration will subscribe to a capital increase in Raya Data Center to provide the equity contribution required for the proposed acquisition.

The approved funding, capped at $60 million, equivalent to approximately EGP3 billion based on the exchange rate applicable on each payment date, may be provided in one or more tranches in U.S. dollars, Egyptian pounds or a combination of both.

The proceeds will be used exclusively to finance the equity portion of the proposed purchase price, with the total funding remaining subject to the $60 million ceiling. Raya Holding said the approved funds will remain available and unencumbered until completion of the proposed acquisition.

Acquisition remains subject to approvals

The funding commitment does not represent a completed acquisition. Raya Integration and/or Raya Data Center must first be awarded the proposed transaction before definitive agreements can be executed and the required internal, legal and regulatory approvals obtained.

If the acquisition does not proceed, the approved capital increase will not create a funding obligation for Raya Holding, Raya Integration or Raya Data Center unless the board subsequently determines otherwise. Raya has not disclosed the identity of the target data center facility or the final purchase price.

If completed, the transaction would add another data center asset to Raya Holding’s growing technology and infrastructure portfolio.

Raya expands technology infrastructure portfolio

Raya Holding for Financial Investments operates 15 delivery sites across Egypt, the UAE, Bahrain, Saudi Arabia, and Poland, serving more than 100 clients across telecom, banking, automotive, travel, and retail sectors. The company, established in 1999 through a merger involving interests linked to Medhat Khalil and Orascom Group, remains majority-controlled by Khalil, who holds a 58.1% stake.

The group already operates through Raya Information Technology and its subsidiaries, which generated EGP7.04 billion ($136 million) in revenue during the first half of 2026, according to its latest financial report. The technology and infrastructure segment recorded a 12.8% decline in revenue during the period but continued to secure banking and telecommunications projects spanning ATM services, information systems and data centers.

Raya said the business remains positioned to benefit from Egypt’s continued investment in digitalisation and technology infrastructure. The next stages are the outcome of the acquisition process, execution of definitive transaction documents and satisfaction of the applicable regulatory and other conditions.