Telecom Egypt (TE) [ETEL.CA] signed an MoU with Liquid Telecom, a pan-African telecom group, whereby they will both explore collaboration opportunities in three fields: data centre deployment, financial investment in infrastructure and development of financial inclusion applications. Under the first track of the MoU, Telecom Egypt and Africa Data Centres, a subsidiary of Liquid Telecom, are planning to start with a JV to build and operate new data centre facilities across Egypt. Telecom Egypt will contribute its local expertise, telecom services and land to establish the data centres. In addition, Telecom Egypt and Liquid Telecom will cooperate to develop a business model for the remaining two tracks. Liquid Telecom is planning to invest a total of USD400mn in Egypt on all these initiatives. 
 
Telecom Egypt: EGP11.74 as of 6 Dec. 2018, Rating: Buy, TP: EGP15.70/share, MCap: USD1,116mn, ETEL EY/ETEL.CA