Overview
- The terminated Advance in Aid of Construction, signed Nov. 4, was tied to Project Matador in West Texas and contemplated up to $150 million in funding.
- Fermi’s stock sank sharply after the disclosure, falling as much as 51% in premarket trading, with other reports noting a roughly 40% drop in early trading.
- The company said it has begun discussions with several other potential electricity customers and reaffirmed its 2026 start for delivering power.
- Reuters reported the parties remain in talks over a potential lease even though the construction funding agreement was dropped.
- Fermi, co-founded by former U.S. Energy Secretary Rick Perry, has no revenue, recently posted larger-than-expected losses, and was last quoted near $9.08, far below its $21 IPO price.