Oracle Corp. has launched a major fundraising initiative, aiming to raise a total of $20 billion through a combination of debt and equity offerings. The company announced plans to sell $10 billion in US dollar investment-grade bonds, alongside an additional $10 billion in common stock. These moves come just days after Oracle revealed its long-term strategy to finance its extensive investments in artificial intelligence infrastructure.
The proceeds from these offerings will be used to support Oracle's day-to-day operations, which may include capital expenditures and dividend payments. The company detailed these plans in separate filings, emphasizing the need to fund its ongoing AI-related spending spree.
This significant financial maneuver underscores Oracle's commitment to expanding its AI capabilities, even as it seeks to maintain stability in its operational finances. The dual approach of issuing both bonds and stock reflects a balanced strategy to secure the necessary funds while managing potential risks.