Fermi Inc. Faces Fraud Lawsuit
The Schall Law Firm has filed a class action lawsuit against Fermi Inc. on behalf of investors. The suit alleges that the company violated federal securities laws. Investors who purchased Fermi stock are being invited to lead the litigation.
- The lawsuit alleges that Fermi Inc. made misleading statements regarding its flagship "Project Matador," an AI and energy campus. The company is accused of overstating tenant demand and failing to disclose the significant risk that its primary tenant would pull its funding. - On December 12, 2025, the company announced that the first tenant for Project Matador had terminated a $150 million agreement intended to finance the facility's construction. This news caused the company's stock to fall nearly 34%. - Fermi's stock (NASDAQ: FRMI) was offered at $21.00 per share during its October 2025 IPO. Following the tenant's withdrawal, the stock price has fallen as low as $8.59 per share, a 59% decline from its initial offering price. - The company, co-founded by former U.S. Energy Secretary Rick Perry, is structured as a real estate investment trust (REIT). It aims to develop large-scale, grid-independent data centers powered by nuclear and other energy sources to meet the demands of the AI industry. - The class period for the lawsuit covers investors who purchased securities between October 1, 2025, and December 11, 2025. The case, *Lupia v. Fermi Inc.*, is pending in the U.S. District Court for the Southern District of New York, with a lead plaintiff deadline of March 6, 2026. - In addition to certain company executives and directors, the underwriters of Fermi's IPO are also named as defendants in the lawsuit.
