Becker's Healthcare November 7, 2022
Oracle has sold $7 billion in debt to fund its purchase of Cerner, Bloomberg reported Nov. 7, after which Fitch Ratings downgraded the company’s credit rating.
The tech company sold the bonds in as many as four parts, a person familiar with the matter told the news outlet. The Cerner deal was financed with roughly $15.7 billion in bridge loan debt, which was later reduced when Oracle borrowed about $4.4 billion through a term-loan agreement.
Fitch subsequently lowered Oracle’s long-term issuer default rate and unsecured debt from BBB+ to BBB. The company’s rating outlook is negative, according to Fitch.
“Today’s Oracle deal has...
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