Key Takeaways
(Bloomberg) -- The stock of Fermi Inc., a nuclear power and data center startup co-founded by former Energy Secretary Rick Perry, has collapsed 80% since its October IPO amid a growing dispute between its founders.
"There will be an M.B.A. case study written about what you guys pulled off—I’m telling you,” Perry told co-founder Toby Neugebauer at a conference in October, just seven months before the relationship soured.
The company, which went public just nine months after its January founding, is now facing a crisis of confidence. The rapid decline from its public offering has been followed by a public and bitter showdown between Perry and Texas energy billionaire Neugebauer over the company's future direction.
Shares of Fermi have fallen 80% since the IPO, wiping out the majority of the company's market capitalization and leaving investors with steep losses. The conflict between the founders centers on the next steps for the company, which had ambitious plans to build a sprawling data-center and energy campus in Texas.
The decline puts the stock at its lowest point since the October IPO, testing the faith of any remaining institutional holders. The company's next catalyst will be any official announcements regarding leadership changes or a potential restructuring plan.
This article is for informational purposes only and does not constitute investment advice.
