Oracle outlines plan to raise $50 billion in debt and equity for 2026

Oracle Corporation has announced plans to raise between $45 billion and $50 billion (approximately Rs 4.585 lakh crores) during 2026. The software giant intends to use the capital to significantly expand its cloud infrastructure capacity to meet soaring demand from major artificial intelligence (AI) and technology clients, as per Reuters reports.

The company, chaired by billionaire Larry Ellison, confirmed on 1 February that the funding will be achieved through a balanced combination of debt and equity. Approximately half of the target will be raised via common equity and equity-linked issuances, including a new $20 billion "at-the-market" equity programme and mandatory convertible preferred securities.

The remaining half will be sourced through a single, one-time issuance of investment-grade senior unsecured bonds, scheduled for early 2026. Oracle stated it does not expect to issue further debt for the remainder of that calendar year. Goldman Sachs is set to lead the bond sale, while Citigroup will manage the equity programmes.

In a statement, Oracle explained that the capital raise is necessary to build additional capacity for its Oracle Cloud Infrastructure (OCI). The firm cited "contracted demand" from a high-profile roster of clients, including NVIDIA, OpenAI, Meta, AMD, xAI, and TikTok.

According to the report, the aggressive build-out comes amid heightened scrutiny of Oracle’s financial position. The company recently faced a lawsuit from bondholders alleging it had concealed the extent of the debt required for its AI infrastructure.

Furthermore, the cost of insuring Oracle’s debt reached a five-year high in December 2025. Despite these pressures, the company is moving forward with its expansion to support massive compute-heavy projects, such as its multi-year, multi-billion-dollar partnership with OpenAI.