business / news / / Times of India
Oracle may be facing a bank-debt ‘problem’ due to its deal with the maker of ChatGPT, OpenAI.
Oracle's $300 billion OpenAI deal has forced banks up against single-borrower exposure limits.
KEY POINTS
- Banks spent months struggling to distribute risk from Oracle-backed data centre loan packages.
- Oracle plans to raise $50 billion through stock and bond offerings for 2026 funding needs.
- Morgan Stanley estimates Oracle may need an additional $100 billion financing through 2028.
- Oracle's weaker credit ratings and higher debt levels deter lenders compared to other tech giants.
COMPANIES
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