Oracle Corporation has announced plans to raise between $45 billion and $50 billion during calendar 2026 to fund its Oracle Cloud Infrastructure and artificial intelligence data-center buildout. Approximately half of the funds will come from equity-linked and common equity issuances—including a $20 billion at-the-market program—to limit incremental leverage, while the remainder will be sourced via a one-time issuance of investment-grade, senior unsecured bonds. The proceeds will support contracted demand from key customers such as Nvidia, Meta, OpenAI and TikTok, and underpin the company’s goal of expanding its global cloud capacity by more than 60% year-over-year.

Following the planned fundraising, Oracle’s total assets—previously reported at $205 billion—will rise in tandem with debt, which stood at $100 billion at the end of FY25. The company’s net debt to EBITDA ratio is forecast to remain within investment-grade thresholds, aided by strong operating cash flow—$19 billion of cash and equivalents on hand—and 57% operating margins. Barclays’ recent upgrade of Oracle’s debt rating to overweight and a 17% decline in its five-year credit default swap spread underscore growing investor confidence that the capital structure will remain resilient despite negative free cash flow in the near term.

Oracle’s equity investors responded positively to the funding announcement, with shares rebounding roughly 3% on the day of the disclosure after a 50% slide from the September peak. Piper Sandler reiterated an overweight view with a $240 target, citing de-risked AI funding and upside from a projected revenue surge—from $57 billion in FY25 to an estimated $225 billion by FY30—and EPS tripling over the same period. Conversely, some analysts caution that near-term dilution from the equity program and elevated capex through 2029 could keep free cash flow margins below historical averages until the data centers reach full utilization.