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News  ›  GlobeNewswire Inc.

Fermi Inc. (FRMI) Slapped With Securities Class Action Over IPO And Subsequent Disclosures -- Hagens Berman

GlobeNewswire Inc. Logo GlobeNewswire Inc. By Hagens Berman
Fermi Inc. (FRMI) Slapped With Securities Class Action Over IPO And Subsequent Disclosures -- Hagens Berman

Fermi Inc. faces a securities class action lawsuit alleging its IPO materials and subsequent disclosures were misleading regarding tenant demand for Project Matador. The company's anchor tenant terminated a $150 million funding agreement in December 2025, causing Fermi's stock to plummet 33% in a single day and 52% below its October IPO price of $21 per share.

Insights
TGT   neutral

Facing challenges from recent boycott, smaller market profile, but maintaining a curated shopping experience and popular store pickup program


FRMI   negative

Company faces securities litigation over allegedly misleading IPO disclosures regarding tenant demand. Anchor tenant terminated $150 million funding agreement, causing stock to crash 52% below IPO price within weeks of going public, indicating severe loss of investor confidence and potential material misrepresentations.