Goldman Sachs Group Inc. and a group of investors are in discussions about a bridge loan for Northvolt AB, a struggling battery manufacturer. The focus of the loan is to secure shares from Northvolt's Canadian unit as collateral.

This development highlights the ongoing interest from major financial institutions in the electric vehicle supply chain, as Northvolt seeks financial support to address its current challenges. The involvement of Goldman Sachs underscores the strategic importance of Northvolt's operations in Canada, particularly in the context of the increasing demand for battery production and sustainable energy solutions.

Goldman Sachs is leading the effort and has approached Investissement Quebec, the financial arm of the Quebec government, to seek approval for Northvolt to use equity in its Canadian subsidiary as part of the loan agreement.