Law Firm Launches Investigation into Fermi Inc. Amid Investor Concerns Over Securities Violations

Investigation Launched into Fermi Inc.

Background

On December 18, 2025, Robbins Geller Rudman & Dowd LLP announced that they are actively investigating possible breaches of U.S. federal securities laws related to Fermi Inc. (NASDAQ: FRMI). The investigation focuses on whether the company and its executives made false or misleading statements and failed to disclose essential information to investors, leading to significant financial repercussions for stakeholders.

Fermi Inc., which is developing a large electric generation campus specifically designed for AI data centers, had recently gone public. On September 30, 2025, the company conducted its initial public offering (IPO), offering approximately 32.5 million shares at a price of $21.00 each. The IPO documents included a letter of intent indicating the company had secured an investment-grade tenant for a long-term lease on part of the Project Matador Site.

The Initial Public Offering

During its IPO, Fermi claimed they entered into a preliminary agreement with a tenant who was to lease a section of the project for an initial term of twenty years, with four additional five-year renewal options. Additionally, the tenant had committed to an Advance in Aid of Construction Agreement (AICA), wherein they agreed to advance up to $150 million to support construction costs, contingent on specific conditions.

The Revelations

However, significant concerns arose when news broke on December 12, 2025. Fermi disclosed that the tenant had terminated the AICA as of December 11, 2025. This unexpected termination has raised alarm bells among investors, primarily because the company continued to negotiate terms on the lease agreement without reassurance regarding the prior commitments.

This announcement triggered a dramatic response from the market, with Fermi’s stock price plummeting by over 33%. The shares closed at just $10.09, significantly below the initial public offering price.

Investors’ Action

Robbins Geller is calling on any investors who may have information pertinent to the investigation or who have suffered financial losses due to this situation to come forward. They encourage individuals to reach out via their website or through direct contact with attorneys J.C. Sanchez or Jennifer N. Caringal. Investors seeking to understand their rights or to discuss potential claims are being urged to take action quickly, as the legal framework surrounding securities fraud is reactionary and time-sensitive.

About Robbins Geller

Robbins Geller Rudman & Dowd LLP is a distinguished law firm recognized for its dedication to representing investors in securities fraud cases. Over the past few years, the firm has consistently ranked as a leader in securing monetary relief for investors, recovering over $2.5 billion in 2024 alone for various securities-related class action lawsuits. With a robust team of attorneys stationed in ten offices globally, Robbins Geller has played a crucial role in some of the largest securities class action recoveries in history.

Conclusion

As this investigation unfolds, the implications for Fermi Inc. and its investors remain to be seen. Stakeholders are advised to stay informed of developments and assess their involvement, given the volatility surrounding securities and public investments. For ongoing updates, keeping in touch with legal counsel can provide strategic advantages in navigating these complex legal waters.