04:29 PM EDT, 09/15/2025 (MT Newswires) -- Oscar Health ( OSCR ) reported late Monday private offering of $350 million aggregate principal amount of convertible senior subordinated notes due 2030.

The health insurance company expects to give the initial buyers a 13-day option to purchase up to $52.5 million additional notes.

The company said it plans to use net proceeds partially to further strategic initiatives in artificial intelligence expansion, reducing cost of care, and improving consumer healthcare experiences. The funds will also support growth opportunities such as potential extension of enhanced premium tax credits, it added.

A portion of the proceeds will also be used to buy a call option on its stock that offsets any share dilution, with the cap set at a 100% premium over the stock price at the time of pricing, the company said.

Shares were down over 5% in recent after-market hours activity.