Oracle Corp. has priced a colossal $18 billion investment-grade bond offering, one of the year’s most eye-catching corporate debt moves as the tech titan races to keep pace with soaring demand for artificial intelligence.
The sale ranks as the second-largest U.S. corporate bond deal of 2025, eclipsed only by Mars Inc.’s $26 billion offering in March, according to Dealogic.
Advised by Freshfields US LLP, with Simpson Thacher & Bartlett LLP guiding the underwriters, Oracle structured the deal into seven tranches, with maturities stretching from five years to 40 years and interest rates spanning 4.45% to 6.1%, filings with the U.S. Securities and Exchange Commission revealed Thursday.
Fueling Growth, Paying Down Debt
Oracle told regulators it intends to use the proceeds for general corporate purposes—from paying down debt to acquisitions, capital expenditures, or even dividends. The move dovetails with its accelerated spending on cloud infrastructure and AI expansion, areas seen as critical to its long-term competitiveness.
The bond sale highlights how Big Tech’s hunger for capital mirrors the arms race in AI, with Oracle pushing to expand its data centers and services even as rivals scale aggressively.
