Oracle Eyes $50bn Fundraise as Starlink Joins Cloud Client List
One of the world’s leading software companies, Oracle, has announced plans to raise up to $50 billion this year through a combination of debt and equity issuance. In a statement issued on Sunday, the company said it would require between $45 billion and $50 billion in financing in 2026 to build additional capacity for Oracle Cloud Infrastructure. The funding will be raised through both debt and equity instruments.
Oracle Chairman and billionaire Larry Ellison said the funds would primarily be used to meet contract-based demand from major customers. These customers include AMD, Meta, Nvidia, OpenAI, TikTok, xAI, and several other large technology companies. Oracle said that nearly half of the total funds would be raised through equity-linked securities and common stock issuance, including mandatory convertible preferred shares and a new “at-the-market” equity programme of up to $20 billion.
The remaining funds will be raised through the issuance of senior unsecured bonds in early 2026. In recent months, Oracle’s aggressive push to build artificial intelligence-driven infrastructure has raised concerns among investors, particularly regarding rising debt levels and the company’s business dependence on OpenAI. Several bondholders have already filed lawsuits against the company.
DBTech/BMT/OR
