Oracle Corp (NYSE:ORCL, ETR:ORC) shares opened 2.5% lower on Wednesday following reports that the company is preparing to raise as much as $15 billion in a corporate bond sale.
The debt offering, which Bloomberg said could be split into as many as seven tranches, comes as Oracle accelerates spending on cloud infrastructure to support booming demand from artificial intelligence providers such as OpenAI.
The investments are expected to lift capital expenditures significantly.
In a regulatory filing, the company did not disclose the overall size of the sale but said proceeds may be used for general purposes, including acquisitions, debt repayment and share buybacks.
Oracle has been vying with rivals Amazon and Microsoft to secure large-scale AI computing contracts, a strategy that requires heavy upfront investment in data centres.
Investors reacted cautiously to the additional borrowing, with the stock sliding after the reports emerged.
Up 84% year to date, the shares opened $10.40 lower at $303.60.