Oracle plans to raise $20 billion through bonds and stock sales
The company said last week that it expects capital spending to peak this fiscal year and the next as it builds more cloud-computing capacity, but pledged to raise no more than $20 billion in additional financing for AI through fiscal 2030.
Oracle intends to raise $20 billion through the issuance of bonds and new shares, according to regulatory filings released on Monday. This move is part of the company's efforts to fund expensive artificial intelligence and cloud infrastructure projects. Following the announcement, Oracle's shares experienced a 3.5% decrease in premarket trading.
The company stated that the funds will be utilized for general corporate purposes, which may encompass capital expenditures, debt reduction, acquisitions, dividends, and share buybacks. Earlier this week, Oracle disclosed that it anticipates capital spending to reach its maximum level during the current fiscal year and the subsequent one, as they expand their cloud computing capabilities.
However, the company has pledged not to seek more than $20 billion in additional financing for AI initiatives through the fiscal year 2030.
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- Oracle plans to raise $20 billion through bonds and stock sales channelnewsasia.com
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- Oracle is selling $10 billion in investment-grade bonds after capping new debt qz.com
- Oracle’s stock falls as the company details plan to raise $20 billion marketwatch.com
