5 Days Later: Oracle Slides After Blowing Through Entire Four-Year “Hard Cap” In One Morning With $20BN Bond, Stock Offering
Last Wednesday Goldman’s trading desk said Oracle had “de-risked the AI infrastructure build.” This morning Oracle used up its four-year funding cap before the opening bell: $20 billion.
Another day, another hyperscaler scrambling to raise capital.
Just one week after Meta tapped shareholders for up to $95 billion, when we said, well, the obvious…… and just days after Microsoft ended a nearly three-month drought in Big Tech bond issuance with a $25 billion deal, it’s Oracle’s turn. According to Bloomberg, Oracle (ORCL) this morning launched a $10 billion, six-part sale of US investment grade bonds, with maturities from two to 20 years. Initial price talk on the longest tranche is about 3.6 percentage points over Treasuries.
AND
PAYWALLED — The Hedge That Stopped Hedging: AI Default Swaps Hit Records As Goldman Finds Credit Cracking Everywhere Except The Index
Intel, Amazon, Broadcom, Microsoft, Alphabet and SpaceX default swaps all hit records on Friday. The investment grade CDS index? It finished the week 1.5bps tighter.
This is all going to make one hell of a “thump”
OpenAI pares fundraising goal, now seeking up to $20 billion in latest round
OpenAI is seeking to raise up to $20 billion in a new funding round, down from an earlier target of about $30 billion, according to CNBC and the Financial Times.
The FT reported that the current round values OpenAI at $1.25 trillion on a post-money basis.
The lower target comes amid a broader tech selloff and heightened investor scrutiny of AI spending, though the round remains open and final terms could change.
https://www.cnbc.com/2026/10/31/openai-fundraising-20-billion-valuation.html