Proof that the end is near.
"Oracle intends to use the net proceeds of the offering for general corporate purposes, which may include stock repurchases, payment of cash dividends on its common stock, repayment of indebtedness and future acquisitions."
https://finance.yahoo.com/news/oracle-prices-10-billion-aggregate-235700719.html
-cbj, could you give an example of a safe investment now that pays a higher rate that what they are borrowing?
If you can cut the number of shares outstanding faster than the market value declines because of bad business decisions, then you can actually make the share price go up. That’s clearly the game here, which means that insiders like LE, MH, and SC her higher prices for their shares when they sell. They are not creating value here, just manipulating the share price of a dying company.
Could it also include somehow putting it in this quarter's results in a way that gives the appearance of revenue growth when, in fact, it was the opposite?
I'm thinking of last fiscal year's results (Q4) when a tax situation benefitted Oracle and the claim was made that the steak of revenue decline had been broken due to "Cloud" when, in reality, the results hinged on a couple large, financially engineered deals and the tax break.
The ultimate skim
Die Oracle, Die!
Most of what they are proposing isn't investing. It's using debt to make the stock numbers look better in the hope that it will go up so that insiders and investors can cash out. These are common tricks of companies with declining market share, declining revenue and the inability to innovate and execute.
Oracle has a lot of cash on hand. If you can borrow money at low rates and invest it at higher rates, then that is financial engineering done right.