LOS ANGELES--(BUSINESS WIRE)--Law Offices of Frank R. Cruz Encourages Fermi Inc. (FRMI) Shareholders to Inquire About Securities Fraud Class Action. ...

Core Viewpoint - Fermi Inc. is facing a lawsuit from investors over alleged violations of Federal Securities Laws related to misleading statements made during its initial public offering and subsequent period, particularly concerning the demand for its Project Matador campus [4]. Group 1: Lawsuit Details - A lawsuit has been filed against Fermi Inc. by an investor regarding alleged false and misleading statements made in connection with the company's October 2025 IPO and the period from October 1, 2025, to December 11, 2025 [4]. - The plaintiff claims that Fermi Inc. overstated tenant demand for its Project Matador campus and failed to disclose significant risks associated with reliance on a single tenant's funding commitment [4]. - The lawsuit highlights that the termination of a $150 million funding agreement by the first tenant for Project Matador was not disclosed, which could materially mislead investors about the company's prospects [4]. Group 2: Financial Information - Fermi Inc. priced its initial public offering at $21.00 per share, offering a total of 32,500,000 shares [3]. - The deadline for investors who purchased shares in excess of $100,000 between October 1, 2025, and December 11, 2025, to take action is March 6, 2026 [2].

Core Viewpoint - A securities fraud lawsuit has been filed against Fermi Inc. by the Law Offices of Frank R. Cruz, indicating potential legal challenges for the company related to its financial practices [1] Group 1: Company Overview - Fermi Inc. is facing a class action lawsuit that alleges securities fraud, which may impact its reputation and financial standing [1] Group 2: Legal Implications - The lawsuit suggests that investors may have been misled regarding the company's financial health, leading to potential financial losses for shareholders [1]

Core Viewpoint - A class action lawsuit has been filed against Fermi Inc. for allegedly making materially false and misleading statements regarding its business operations and prospects during its IPO and subsequent trading period [1][6]. Group 1: Lawsuit Details - The lawsuit is filed in the United States District Court for the Southern District of New York, under the case name Lupia v. Fermi, Inc., and is on behalf of individuals and entities that purchased Fermi's common stock during the IPO and the class period from October 1, 2025, to December 11, 2025 [1]. - The lawsuit claims violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 [1]. Group 2: IPO and Stock Performance - Fermi conducted its IPO on October 1, 2025, selling 37,375,000 shares at a price of $21.00 per share [3]. - Following the announcement of a significant tenant's termination of a $150 million funding agreement, Fermi's stock price dropped by $5.16, or 33.8%, closing at $10.09 on December 12, 2025 [4]. - By the time the lawsuit commenced, Fermi's stock had fallen to as low as $8.59 per share, representing a 59% decline from the IPO price [5]. Group 3: Allegations Against Defendants - The complaint alleges that Fermi's Registration Statement and statements made during the class period contained materially false and misleading information, including an overstatement of tenant demand for the Project Matador campus and reliance on a single tenant's funding commitment [6]. - It is claimed that the defendants failed to disclose the significant risk of the tenant terminating its funding commitment, which misled investors regarding the company's business and operational prospects [6].

Group 1 - Fermi Inc. (NASDAQ:FRMI) experienced a significant increase of 15.75% week-on-week, driven by investor optimism ahead of upcoming business updates and the overall positive sentiment in the artificial intelligence industry [1] - The company will participate in the Evercore Power Conference on January 8 and 9, 2026, where it is expected to provide important business updates and guidance for 2026 [2] - Fermi announced the termination of a $150 million data center leasing agreement with one of its major tenants, although the company did not disclose the tenant's name or the reason for the pullout [3] Group 2 - Fermi has secured a power supply agreement with Southwestern Public Service Company (SPS) for the delivery of up to 200 MW of power capacity to support its data center operations [4] - The company is focused on developing next-generation private electric grids aimed at providing highly redundant power to support artificial intelligence applications [4]

Company Overview - Fermi Inc. (NASDAQ:FRMI), also known as Fermi America, is engaged in the development of next-generation private electric grids to deliver highly redundant power to support artificial intelligence [4] Recent Performance - Fermi Inc. experienced a rebound of 7.58% on a recent Tuesday, closing at $8.09 per share, as investors engaged in bargain-hunting following a four-day losing streak [1] - The rally was driven by sustained investor confidence in the artificial intelligence industry and strong demand for data centers, despite earlier setbacks [1] Tenant Withdrawal - A major tenant, which has not been identified, withdrew from a $150 million agreement with Fermi Inc. earlier this month, although the reason for this termination was not disclosed [2] Future Prospects - Fermi Inc. is actively pursuing discussions with other companies for potential leasing agreements to mitigate the impact of the tenant withdrawal [3] - The company has also signed a power supply agreement with Southwestern Public Service Company (SPS), a subsidiary of Xcel Energy, to deliver up to 200 MW of power capacity to its data center [3]

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Fermi Inc. and its officers or directors, following significant stock price decline after a key tenant terminated an agreement [1][3][4]. Group 1: Company Overview - Fermi Inc. completed its initial public offering (IPO) on October 1, 2025, offering 32.5 million shares at a price of $21.00 per share [3]. - The company is involved in the development of a data center campus known as Project Matador [3]. Group 2: Recent Developments - On December 12, 2025, Fermi announced that the first potential tenant for Project Matador had terminated its Advance in Aid of Construction Agreement, which involved Fermi agreeing to advance up to $150 million for construction costs [3]. - Following the announcement of the tenant's termination, Fermi's stock price dropped by $6.66 per share, representing a 43.67% decline, closing at $8.59 per share on December 15, 2025 [4]. Group 3: Legal Investigation - Pomerantz LLP is conducting an investigation on behalf of Fermi investors regarding possible securities fraud or other unlawful practices by the company and its executives [1].

Company Overview - Fermi Inc. is developing a large electric generation campus for AI data centers and conducted its initial public offering (IPO) on September 30, 2025, issuing approximately 32.5 million shares at an offering price of $21.00 per share [3]. Key Developments - The IPO's offering document indicated that Fermi entered into a letter of intent with an investment grade-rated tenant to lease a portion of the Project Matador Site for an initial lease term of twenty years, with four renewal terms of five years each [3]. - In November 2025, Fermi announced that the First Tenant agreed to advance up to $150 million to fund construction costs through an Advance in Aid of Construction Agreement (AICA) [3]. Recent Revelation - On December 12, 2025, Fermi disclosed that the First Tenant notified them of the termination of the AICA, although negotiations for a lease agreement were still ongoing [4]. - Following this announcement, Fermi's stock price fell more than 33%, closing at $10.09 per share, significantly below the IPO price [4].

Core Viewpoint - Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving Fermi Inc., focusing on whether the company and its executives made false or misleading statements or failed to disclose material information to investors [1][2]. Company Overview - Fermi Inc. is developing a large electric generation campus for AI data centers. The company conducted its initial public offering (IPO) on September 30, 2025, issuing approximately 32.5 million shares at an offering price of $21.00 per share [2]. - The IPO's offering document indicated that Fermi entered into a letter of intent with an investment-grade-rated tenant to lease part of the Project Matador Site for an initial term of twenty years, with four renewal terms of five years each [2]. Recent Developments - On December 12, 2025, Fermi disclosed that the First Tenant had notified the company of the termination of the Advance in Aid of Construction Agreement (AICA) on December 11, 2025. However, negotiations for a lease agreement at Project Matador are ongoing [3]. - Following this announcement, Fermi's stock price fell more than 33%, closing at $10.09 per share, significantly below the IPO price [3].

There were two major energy-related initial public offerings in 2025, and both have been busts. ...