Al Moammar Information Systems (MIS) and BSF Capital have announced plans to significantly expand the capacity of data centers in Saudi Arabia, aiming to reach a total capacity of 64 megawatts. This expansion is part of a deal estimated to be worth between 1.95 billion Saudi riyals ($520 million) and 2.5 billion riyals ($666 million).
BSF Capital, representing the Saudi Data Centre Fund 1, a private shariah-compliant, closed-ended investment fund, signed the letter of intent with MIS on September 22, 2024. The fund, which was established in 2021, aims to construct six hyperscale data centers in the kingdom, initially targeting a capacity of 24MW.
The agreement, revealed in a Tadawul disclosure by MIS, will be valid for 90 days as the parties work to finalize terms. This initiative is part of Saudi Arabia’s broader strategy to attract technology investments and bolster its tech sector infrastructure. Notably, in March, Saudi announced that it had secured over $10 billion in investments from major tech companies, including Amazon Web Services, to develop data centers in the region.
