Oracle’s $10B Bond Issue Carries $776.75M In Annual Coupons

Oracle completed a $10 billion bond offering and a separate $10 billion share sale on 4th November. Its completion filing confirms issuance of all five bond series, whose annual coupons total $776.75 million while all remain outstanding.

The company’s pricing press release, dated 2nd November 2026, set the equity offering at 86,206,897 shares for $116 each.

The Annual Coupon Bill

The final pricing term sheet sets coupons ranging from 7% for the $2 billion series due in 2029 to 8.65% for the $1.5 billion series due in 2046. Multiplying each series’ principal by its coupon and adding the five amounts gives $776.75 million a year. That is a calculation from the disclosed terms, before principal repayments.

As the US Securities and Exchange Commission explains in its corporate bond guidance, a fixed coupon determines the interest payments made to lenders. The rate stays fixed even when market interest rates change. Buying these bonds makes an investor a creditor of Oracle; the concurrent common shares represent ownership.

The payment timetable also matters. Four series begin paying interest on 4th May 2027. The 2037 series starts on 4th February. The annual total therefore describes a full year with all five series outstanding, rather than cash payable immediately or Oracle’s interest expense for a particular financial year.

New Shares Alongside Existing Debt

Oracle’s preliminary stock prospectus uses 3,023,726,695 shares outstanding on 31st August as its base. The new shares equal approximately 2.85% of that dated count. This dated-base comparison illustrates the issuance’s scale, rather than measuring current ownership dilution.

The same prospectus reports $236.1 billion in consolidated debt principal at 31st August. Proceeds may repay indebtedness, so adding the entire new issue to that older balance would not establish Oracle’s debt after closing.

The financing follows the wider computing investment cycle covered in our Amazon cash flow report. Our Cohere funding report examines a separate AI financing arrangement involving staged capital commitments.

Oracle’s pricing release estimated approximately $9.9 billion in net share proceeds and $10 billion from the notes. Its announcement allowed several uses, including capital expenditure, debt repayment, investments and shareholder distributions; it does not allocate the entire amount to a named AI project.