Shares in Fermi tumbled after the AI venture failed to lock down an anchor tenant for its data centre project, a prerequisite for financing the build. The company had marketed itself as a Trump‑linked startup, attracting speculative capital, but the missing tenant sparked a sell‑off that erased most of its market value. The rapid decline also triggered margin calls for leveraged holders, amplifying volatility.

Without a committed customer, lenders withdrew a promised £200 million loan, leaving Fermi unable to cover construction costs. The board responded by dismissing its chief CEO, a move that raised questions about governance and the firm’s ability to recover. The ousted CEO, whose tenure lasted six months, leaves the board for interim leadership. Investors now face a near‑total loss, while the broader AI‑real‑estate niche sees heightened scrutiny.

The collapse underscores how reliance on a single tenant can jeopardize capital‑intensive ventures, especially in a market where AI hype inflates valuations. Regulators may examine whether Fermi’s disclosures about its Trump connections misled investors. Investors and analysts will watch court filings for clues on liability restitution. The episode serves as a cautionary tale for startups banking on political branding to secure funding.