Oracle has made an unrealized $316 million gain on a warrant it received days ago, following a 15% rise in Bloom Energy shares after their expanded partnership.
Earlier this month, Oracle received a warrant to purchase up to 3.53 million Bloom shares at $113.28 each, under an October agreement. A few days later, Oracle agreed to buy 1.2 gigawatts from Bloom, bringing its total to 2.8 gigawatts. After the expanded deal, Bloom shares climbed to nearly $203, increasing the value of Oracle’s warrant by about $316 million above the exercise price. Oracle has until October 9 to use the warrant.
The expanded deal boosted Oracle’s stock by almost 13% as investors warmed to software stocks. Despite this, Oracle shares remain down about 20% for the year, but gained 1.5% after hours on the Bloom news. Oracle has raised over $100 billion in debt for AI data centers. The Bloom partnership is key, as it secures rapid, on-site power that is not reliant on the grid.
Bloom Energy has become one of the main winners from the growth in AI infrastructure, as its fuel cell technology offers an alternative energy source for data center developers facing limits on grid capacity. The market has responded strongly: Bloom’s shares have nearly quadrupled in 2025 and have more than doubled so far this year, raising its market value above $50 billion. By deepening its partnership with Bloom, Oracle secures a strategic advantage in scalable, off-grid power for its data centers and benefits financially from the rapid appreciation of its Bloom warrant. As a result, Oracle is positioned to meet future AI-driven energy needs while enhancing investment returns during the AI boom.
