Volta Infrastructure Pricing Slips Past Commitment Deadline Amid Turbulent Week for AI Infrastructure Debt

Reporting: Melina Chalkia, Michael Haley, Geoff Burrows, Caroline Hagood Volta Infrastructure’s roughly $5 billion leveraged loan slipped past its expected pricing deadline on Wednesday, Oct. 14, as investors weighed its attractive double-digit yield against concerns over graphics processing unit-backed lending and mounting caution over AI-related exposure. Pricing on the unrated AI infrastructure developer’s inaugural 6.5-year loan was being offered at SOFR+625-650 bps and 97-98 OID for both the $1.3 billion term loan C and $3.712 billion GPU term loan. JPMorgan is lead left on the deal, which launched on Oct. 2. Commitments were due Oct. 14 and as of publishing the deal has not priced, sources noted. Volta’s deal is oversubscribed, according to a source, but is awaiting pricing as accounts have asked for further changes. At a roughly 11% yield, one investor described the deal as “super yieldly,” but said there was some uncertainty given Volta is a new issuer and the first financing to bring Nvidia’s Vera Rubin chips to market. The company’s lack of history was a concern for several investors who pointed to the size of the financing relative to Volta’s limited operating track record, lack of audits and experience. The bulk of the new loan[...]