Investors in Fermi Inc. (NASDAQ: FRMI) who have experienced substantial losses are being urged to participate in a class action lawsuit led by the national shareholder rights firm Hagens Berman. This legal action is set to address allegations that Fermi misrepresented key details related to its flagship project, Project Matador, and tenant demand surrounding it.
The deadline for investors to act as lead plaintiffs is March 6, 2026. The firm is currently investigating claims that Fermi’s initial public offering (IPO) materials, released in October 2025, misled investors about the viability and funding prospects for Project Matador, which is touted as a major AI campus development.
Allegations Against Fermi Inc.
Fermi’s Project Matador has been characterized as a multi-gigawatt energy and data center campus designed to meet the growing needs of artificial intelligence. In the materials provided during its IPO, Fermi presented an agreement with an investment-grade “First Tenant” that included a significant $150 million Advance in Aid of Construction Agreement (AICA). However, on December 12, 2025, the company shocked investors by announcing the termination of this agreement, which occurred after the exclusivity period ended.
Following this announcement, Fermi’s stock suffered a dramatic decline of 33.8% in a single day, dropping to $10.09 per share, which is over 50% lower than its IPO price of $21.00. This sharp fall raised questions about the transparency of Fermi’s management regarding the project’s status.
Reed Kathrein, a partner at Hagens Berman leading the investigation, stated, “We are investigating whether Fermi management was transparent about the actual status of the Project Matador.”
Investor Information and Next Steps
The class action lawsuit, filed as Lupia v. Fermi Inc., et al., No. 1:26-cv-00050 in the Southern District of New York, seeks to address the alleged misrepresentation of tenant demand and the undisclosed risks associated with the exit of Fermi’s primary anchor tenant.
Investors who purchased Fermi securities between October 1, 2025, and December 11, 2025, and incurred significant losses are encouraged to reach out to Hagens Berman. Information can be submitted through the firm’s secure portal or by contacting the legal team directly at [email protected] or via phone at 844-916-0895.
Potential plaintiffs are reminded that the deadline to petition the court for lead plaintiff status is fast approaching. The firm also provides resources for whistleblowers who may possess non-public information about Fermi’s operations. Under the SEC’s Whistleblower Program, individuals providing original information may be eligible for rewards of up to 30 percent of any successful recovery made by the SEC.
About Hagens Berman: This global plaintiffs’ rights law firm focuses on corporate accountability and has a history of representing investors, whistleblowers, and consumers. The firm has successfully secured over $2.9 billion for those harmed by corporate negligence.
For further updates and information about the Fermi case, interested parties can visit Hagens Berman’s official website and follow the firm’s updates on social media.
