Fermi Inc. (FRMI) Investors Given Chance to Lead Securities Fraud Lawsuit

The Schall Law Firm, a national firm specializing in shareholder rights and securities litigation, has announced the filing of a class action lawsuit against Fermi Inc. (NASDAQ: FRMI) for alleged violations of federal securities laws. This legal action offers eligible investors the opportunity to seek recovery for their investment losses and even petition the court to be appointed as lead plaintiff in the case.

Background of the Case

Fermi Inc., an energy and AI infrastructure company that went public in October 2025, is accused of making false or misleading statements to its investors. According to the complaint, the company misrepresented key information related to its business operations and project funding during its initial public offering (IPO) and subsequent reporting periods. These alleged misstatements influenced public perception of the company’s prospects and impacted the stock price when the truth emerged.

The class action alleges that Fermi overstated tenant demand for its flagship project, Project Matador, and misrepresented funding commitments tied to that project. Project Matador is a planned large-scale energy and AI campus that was reported to have secured a major $150 million advance commitment from a key tenant to help finance construction.

Investor Losses and Stock Price Reaction

Fermi’s stock traded publicly following its October 2025 IPO. However, in December 2025, the company revealed that the previously reported funding agreement with its primary tenant had been terminated. This disclosure caused the price of Fermi’s shares to plunge sharply in the market, resulting in significant investor losses.

Investors who purchased Fermi securities during the relevant period — from the IPO through December 11, 2025 — and suffered financial losses as a result may be eligible to participate in the lawsuit. The legal complaint argues that Fermi’s public statements were materially false and misleading throughout the class period, and when the market learned the truth, investors bore the financial impact.

Legal Claims and Securities Law Violations

The lawsuit, brought under federal securities laws, alleges that Fermi Inc. violated provisions designed to protect investors by requiring truthful disclosures in registration statements and ongoing public reporting. These laws include sections of the Securities Act of 1933 and the Securities Exchange Act of 1934, which regulate accurate and complete information for investors.

Specifically, the complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act and Rule 10b-5, which prohibit fraudulent practices in connection with the purchase or sale of securities. It also includes allegations under Sections 11 and 15 of the Securities Act for material misstatements or omissions in the company’s IPO registration statement.

Who Can Participate in the Lawsuit?

Investors who acquired Fermi Inc. securities during the class period — generally from the IPO in October 2025 through December 11, 2025 — and suffered financial losses are encouraged to contact The Schall Law Firm. Eligible investors can submit their information and have the opportunity to join the lawsuit as class members or seek appointment as lead plaintiff.

The deadline to file a lead plaintiff motion with the court is set for March 6, 2026. Interested shareholders must meet this deadline to preserve their rights and maximize their chances of representation in the case.

About The Schall Law Firm

The Schall Law Firm is a nationally recognized law firm that handles securities class action lawsuits and other shareholder rights litigation. The firm represents investors around the world and specializes in holding public companies accountable when their actions harm shareholders.

As part of the legal process, the firm is encouraging affected shareholders to consult with its attorneys to discuss their options and understand the implications of joining the class action. Contact information for the firm, including phone and email, is provided in the official press release.

Next Steps for Investors

If you are a Fermi Inc. investor and believe you may have been affected by the alleged misrepresentations, the first step is to gather documentation of your stock purchases and losses. You can then submit your information to the law firm handling the case or consult with your own legal counsel.

It’s important to act before the filing deadline to ensure your participation in the lawsuit and protect your rights as a shareholder. Legal representation in class action suits can help investors recover some of their financial losses through settlements or court judgments.

Summary

The class action lawsuit against Fermi Inc. represents a legal avenue for affected investors to seek compensation for losses tied to alleged false and misleading statements made by the company. With a deadline approaching for lead plaintiff motions, shareholders are urged to act promptly and seek expert legal advice to understand their options in this complex securities litigation.

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