JPMorgan, Goldman Sachs Limit Risk in $5B Loan Package for AI Cloud Firm Volta

JPMorgan and Goldman Sachs are leading a $5 billion loan financing for AI cloud company Volta Infrastructure Holdings, according to people familiar with the matter. The two banks have underwritten $1.3 billion of the term loan while leaving the remaining $3.7 billion chip-related loan un underwritten, a move aimed at limiting their risk exposure.

The arrangement comes as investors demand higher yields on risky debt tied to the AI boom. By taking on only part of the loan, the two global investment banks have taken an unusually cautious approach in financing an emerging AI infrastructure provider.