First off, to place an IC in Egypt, you have to own it at the beginning of your turn. In all the games I have played the Axis (except my VERY FIRST where I went after Caucuses on G1), Egypt was in German hands at the start of G1.
Second, kill the UK TRN in the Med on G1? With WHAT? The UK Bomber and the India AC FIG are the ONLY 2 units that can reach (the Gibraltar BB have been sunk by a strike of a sub and multiple AF in G1, and the DST being sunk as Germany invaded Egypt on G1), and the India FIG would have to land in Trans-Jordan (meaning it dies in G2). 1 FIG, 1 BOM against 1 BB and 1 TRN… you have a 23% chance of winning that battle… and a 77% chance of losing both the FIG and the BOM… not to mention that FIG has more important duties, like giving you enough punch to actually re-take Egypt. Bomber only, you have a 14% chance of killing the TRN… and a 99% chance of losing your Bomber.
Third, even if you do re-take Egypt on UK1, AND kill the TRN, you are still going to lose Egypt AGAIN before you can build an IC there in UK2. Germany simply re-takes it with 1 INF, 1 ART, 1 BOM, 1 FIG (maybe 2) against AT MOST 3 INF, and more likely 1 INF.
3 INF is 92% German win (99% with 2 FIGs)
2 INF is 99% German win (100% with 2 FIGs)
1 INF is 100% German win
IF you sink the TRN in the med and
IF you liberate Egypt and
IF you re-liberate Egypt
Then Germany has nothing left in Africa anyway, why build an IC there? To harass Japan? Would have been better off with India or Persia IC on UK1.