genai / news / / Hindustan Times
Banks including JPMorgan Chase struggled for months to spread the risk of billions of dollars in loans they made to build data centers leased to Oracle in Texas and Wisconsin.
Banks struggled to syndicate billions in loans for Oracle data centers due to exposure limits.
KEY POINTS
- Crusoe leased a Texas data center to Microsoft instead of Oracle after lenders balked at further Oracle exposure.
- Oracle faces additional cash funding needs exceeding $100 billion for 2027 and early 2028.
- Oracle’s lower credit rating and reliance on OpenAI have driven its bond insurance costs up fourfold since September.
- Some lenders shifted to bond financing, with Pimco buying a large portion of a Michigan Oracle data center deal.
COMPANIES
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