Hagens Berman Investigating Fermi Inc. (FRMI) as Shares Tank 33% Amid First Tenant Contract Termination

SAN FRANCISCO–(BUSINESS WIRE)–On December 12, 2025, investors in Fermi Inc. (NASDAQ: FRMI) saw the price of their shares crater about 33% after the company revealed that a prospective anchor tenant (“First Tenant”) for Fermi’s Project Matador (the company’s Advanced Energy and Intelligence Campus at Texas Tech University) terminated an agreement that would have advanced $150 million to help fund construction.

The company has billed Matador as a multi-gigawatt energy and data center development campus designed to support the accelerating needs of to-be-built AI infrastructure and “a first-of-its-kind energy campus to be built to power the AI revolution.”

Fermi’s announcement comes after it raised nearly $784 million in gross proceeds through the issuance of over 37 million shares at $21/share on October 2, 2025.

The First Tenant cancelation news and severe market reaction have prompted national shareholders rights firm Hagens Berman to open an investigation into whether Fermi may have previously misled investors about the strength of the First Tenant agreement.

The firm urges investors in Fermi who suffered significant losses to submit your losses now. The firm also encourages persons with knowledge who may be able to assist in the investigation to contact its attorneys.

Visit: www.hbsslaw.com/investor-fraud/frmi
Contact the Firm Now: FRMI@hbsslaw.com, 844-916-0895

Fermi Inc. (FRMI) Investigation:

As recently as mid-November, Fermi assured investors that “[i]n November, we took a major step forward with Project Matador by executing a $150 million Advanced in Aid of Construction Agreement (“AICA”) with our first prospective tenant.”

The company emphasized “Tenant number 1 is a very creditworthy counterparty[,]” said “[t]his agreement establishes a framework for cost reimbursement and prepayment, allowing the tenant to fund a portion of shared infrastructure and utility systems ahead of occupancy[,]” and touted “we definitely already have the construction contract.”

Investor disappointment set in on December 12, 2025. That day, Fermi abruptly announced that “[o]n December 11, 2025, the First Tenant notified the Company that it is terminating the AICA[.]” The company did not explain the reasons for First Tenant’s exit.

The markets swiftly reacted, sending the price of Fermi shares crashing 33% lower that day. The December 12 closing price of $10.09 was nearly 52% below Fermi’s October IPO price.

“We’re focused on whether the company has been sufficiently transparent about the strength and terms of the agreements with Tenant 1,” said Reed Kathrein, the Hagens Berman partner leading the firm’s investigation.

If you invested in Fermi and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »

If you’d like more information and answers to frequently asked questions about the Fermi investigation, read more »

Whistleblowers: Persons with non-public information regarding Fermi should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email FRMI@hbsslaw.com.

About Hagens Berman

Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

Contacts

Reed Kathrein, 844-916-0895