Fermi Board Replaces Founding Members After Stock Fall
Shareholders voted out co-founder Rick Perry and director Jeffrey S. Stein following a 90% drop in company value.
Updated on Oct. 30, 2026 in Public Companies
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Fermi co-founder Rick Perry and director Jeffrey S. Stein failed to win reelection to the board during the company's annual meeting. This leadership turnover follows a period of extreme financial decline for the data center developer.
Why it matters
The board shakeup highlights intense shareholder pressure following a stock price collapse of more than 90% from its peak. For operators, the shift underscores the risks of long-term development projects when early-stage growth and valuation targets are missed.
Shareholders rejected the board extension for Rick Perry and Jeffrey S. Stein following a 90% decline in stock value from peak prices. Rick Perry maintains 16 million shares, while Griffin Perry holds 60 million shares in the company.
The players
Rick Perry
Co-founder of Fermi who retains approximately 16 million shares in the data center company.
Fermi
Data center developer currently operating a 5,000-acre project in Amarillo.
Larry Kellerman
The only remaining co-founder serving on the current Fermi board of directors.
Toby Neugebauer
Former CEO of Fermi who was removed from his leadership role in April 2026.
The details
Shareholders at the annual meeting blocked the proposal to extend board terms for Perry and Stein, leaving Larry Kellerman as the only original co-founder remaining in a board seat. The company previously removed CEO Toby Neugebauer in April 2026 amid ongoing operational challenges. Fermi continues to manage a 5,000-acre project leased from the Texas Tech University System in Amarillo, which gained its first tenant, TensorWave, in August 2026.
Timeline
April 2026: Toby Neugebauer was removed as CEO.
August 2026: Fermi announced TensorWave as its first tenant.
Friday, October 24, 2026: Rick Perry and Jeffrey S. Stein failed to win reelection.
Next four business days: Fermi must file preliminary election results with the SEC.
Market Landscape
This leadership turnover follows a pattern seen in distressed entities struggling to regain investor confidence after significant value erosion. The event mandates compliance with the Securities and Exchange Commission filing requirements for material corporate governance changes.
Operators should track how Fermi manages its 5,000-acre Amarillo lease following the loss of founding leadership. The board's new composition will signal whether the company pursues aggressive expansion or consolidation of existing assets.
The takeaway
The ousting of co-founders signals a critical pivot point for Fermi's operational strategy and tenant recruitment efforts. Monitor future SEC filings to determine how the newly configured board plans to address the company's remaining assets and long-term liquidity.
What happens next
Fermi must file its preliminary election results with the Securities and Exchange Commission within four business days of the October 24, 2026, annual meeting.
Further reading
For more on shifts in the local corporate sector, visit our Public Companies section.
Source note: This article includes information reported by KPRC.
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