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 developmen. ...

Core Viewpoint - Fermi Inc. experienced a significant drop in share price, approximately 33%, following the termination of a $150 million agreement with a prospective anchor tenant for its Project Matador, which is aimed at developing an advanced energy and intelligence campus [1][5]. Company Overview - Fermi Inc. is developing Project Matador, a multi-gigawatt energy and data center campus designed to support AI infrastructure needs, positioning it as a pioneering energy campus for the AI revolution [2]. - The company raised nearly $784 million through the issuance of over 37 million shares at $21 per share on October 2, 2025 [2]. Recent Developments - The termination of the agreement by the First Tenant has led to an investigation by Hagens Berman, a national shareholders rights firm, to determine if Fermi misled investors regarding the strength of the tenant agreement [3][5]. - Prior to the termination, Fermi had assured investors in mid-November about the strength of the agreement, describing the First Tenant as a creditworthy counterparty and emphasizing the framework for cost reimbursement and prepayment [4]. Market Reaction - Following the announcement of the First Tenant's exit, Fermi's share price closed at $10.09 on December 12, 2025, which is nearly 52% lower than its IPO price [5]. - The market's swift reaction indicates investor disappointment and concerns over the company's transparency regarding its agreements [5].