Oracle raises $20 billion through a stock offering and a bond sale
Nov 3, 2026
Oracle (NYSE: ORCL) filed on Monday, November 2, 2026 for a $10 billion offering of common stock and, separately, priced a $10 billion offering of senior notes.
The share offering
According to Oracle's preliminary prospectus supplement:
- Oracle is offering $10 billion of common stock
- BofA Securities is the global coordinator, together with a group of other banks
- the last reported share price before the filing was $130.67, on October 30, 2026
- Oracle agreed to a 60-day period during which it will not sell more shares, with certain exceptions
The filing shows that, if shares were sold at $130.67, about 76.5 million new shares would be issued. This is an illustration from the filing; the final number depends on the offering price.
The bond offering
According to the final pricing term sheet, the $10 billion of senior notes was priced in five tranches:
- $2.0 billion due 2029, with a 7.000% coupon
- $1.75 billion due 2031, with a 7.450% coupon
- $2.25 billion due 2033, with a 7.850% coupon
- $2.5 billion due 2037, with an 8.000% coupon
- $1.5 billion due 2046, with an 8.650% coupon
The notes are scheduled to settle on November 4, 2026. The term sheet lists credit ratings of Baa2 (negative outlook) from Moody's, BBB- (stable) from S&P and BBB (stable) from Fitch. The two offerings are not conditional on each other.
How Oracle plans to use the money
According to the filing, the net proceeds will be used for general corporate purposes, which may include capital expenditures, repayment of debt, future investments, acquisitions, dividends and share repurchases. According to media reports, the funds are intended to support Oracle's expansion of its AI and cloud infrastructure.
Earlier financing plans
In February 2026, Oracle announced a plan to raise $45 billion to $50 billion during the year, through a mix of equity and debt, to expand its cloud infrastructure.
About Oracle
Oracle is a US technology company that sells database software, business applications and cloud infrastructure services. In recent years it has been building data centres to provide computing capacity for customers developing and running AI models.
What a share offering means for shareholders
When a company sells new shares, the total number of shares increases. This is known as dilution, because each existing share represents a smaller part of the company. The company receives cash that it can use for investment or other purposes.
What bond coupons and ratings mean
A coupon is the annual interest rate a company pays on its bonds. Longer-dated bonds often pay higher coupons. Credit ratings from agencies such as Moody's, S&P and Fitch assess a borrower's ability to repay. Ratings starting with "BBB" or "Baa" are the lowest category of investment grade.
Why companies combine shares and bonds
Companies can raise money by selling shares, by borrowing through bonds or loans, or by combining both. Shares do not have to be repaid, but they dilute existing owners. Bonds do not dilute shareholders, but the company must pay interest and repay the principal. Using both can spread the financing between different groups of investors and keep debt levels within the company's targets.
What to watch
Key items include the final pricing of the share offering, Oracle's capital spending plans and its next quarterly results.
Risks and uncertainties
New share issues can dilute existing shareholders, and higher debt increases interest costs. Large investment programmes may not deliver the expected returns. Technology shares can be volatile.
What this means for investors
For Investing.one users following ORCL, the size and terms of the offerings may be relevant. The information above is based on Oracle's filings with the SEC.
Sources
- Oracle preliminary prospectus supplement (SEC 424B5)
- Oracle final pricing term sheet for notes (SEC FWP)
- Oracle pricing release: $20 billion of common stock and senior notes
- Oracle 2026 financing plan (Barchart)
- CNBC live updates, November 2, 2026
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