Ongoing Investigation into Fermi Inc. Over Alleged Securities Fraud and Tenant Exit

In a recent development, Hagens Berman, a prominent national shareholder rights law firm, has begun scrutinizing Fermi Inc. (NASDAQ: FRMI) for potential securities fraud. Investors are being alerted to the ongoing investigation following claims that the company misrepresented crucial information regarding its flagship project, "Project Matador," and the associated financial commitments from its anchor tenant. This scrutiny comes in light of a lawsuit set to culminate with a lead plaintiff deadline on March 6, 2026.

Background of the Case

The allegations suggest that Fermi misled investors by overstating the demand for Project Matador—a substantial AI data center enterprise. Specifically, it is claimed that Fermi concealed significant risks related to its primary tenant's funding commitment, which is pivotal for the construction of this ambitious data center project. According to the filed complaint, the company acknowledged that its major tenant had terminated a vital $150 million construction agreement, which dramatically impacted the market perception of Fermi's financial stability.

This shocking announcement came on December 12, 2025, when Fermi revealed the termination of the Advance in Aid of Construction Agreement (AICA). The revelation led to a rapid decline in the value of Fermi stocks, plummeting nearly 34% in a single day. As investors began to react to this damaging news, the stock's price fell to as low as $8.59 per share, representing a staggering decline of approximately 59% from its initial public offering (IPO) price of $21 per share.

The Allegations Underlying the Lawsuit

The crux of the allegations against Fermi and its executives includes the following points:
1. Overstated Tenant Demand: The lawsuit claims that the company’s IPO registration documents inflated the demand for Project Matador's extensive capacity, which was designed to draw in high valuations and secure funding.
2. Concealed Tenant Risks: It is asserted that executives failed to disclose that Project Matador’s success hinged heavily on the funding from a single tenant and that there was a real possibility of funding termination, which ultimately occurred.
3. $150 Million AICA Termination: This event was pivotal—it not only indicated a lack of confidence from a key stakeholder but also revealed the precarious nature of Fermi's financial planning.

Class Action and Representational Efforts

The ongoing securities class action aims to represent investors who acquired shares of Fermi Inc. during two specific periods: those who purchased shares as part of the IPO in October 2025 and those who acquired shares on the open market between October 1, 2025, and December 11, 2025. Hagens Berman’s efforts underscore the importance of corporate accountability and the enforcement of investor rights in light of potential malpractices.

### Next Steps for Investors

Reed Kathrein, the Hagens Berman partner leading the investigation, is actively engaging with affected investors. Individuals who feel misled or have incurred losses related to their investments in Fermi Inc. are encouraged to reach out. The firm has established a secure form for investors to report their financial losses stemming from this situation. This outreach reflects Hagens Berman's dedication to ensuring that corporate deception does not go unpunished.

Closing Remarks

As the legal timeline progresses, it remains crucial for investors in Fermi Inc. to stay informed about the developments of this lawsuit. Hagens Berman, known for prosecuting significant securities fraud cases, offers a lens into the complexities surrounding corporate governance and investor rights. This case serves as a critical reminder of the need for transparency and accountability within publicly traded companies, especially in rapidly evolving sectors such as technology and infrastructure.

For those seeking to report their investment losses, contact details for Reed Kathrein and further instructions have been provided to facilitate the process.