Fermi Inc.: The 90-Day Pivot That Turned a Ghost Town into a Powerhouse

The Anchor Lease

Fermi's binding customer agreement with TensorWave is the linchpin of its Fermi 2.0 strategy. The leadership team delivered on all five commitments of its 90-day plan, with the most critical being a signed offtake. "We signed a binding agreement representing up to 650 megawatts of power," Marius Haas said on the call. The deal is structured in three phases, with the first phase a 15-year commitment for 222 MW of turnkey data center capacity, representing approximately $6.5 billion in revenue. Anna Bofa emphasized the strategic rationale: "We have signed a binding agreement with TensorWave, representing up to 650 megawatts of capacity if all expansion options are exercised." The turnkey nature of the deal and the participation of a highly capable data center partner reduce execution risk and set a template for future customers.

Just ninety days ago, the company's leadership publicly committed to delivering five specific objectives, including a binding tenant agreement. As then-Interim CEO Marius Haas told analysts, “Those are the 5 commitments and deliverables that we're focused on for the next 90 days without distractions. That's how you should measure us.” — Marius Haas, Chairman of the Board · 2026-05-14 That commitment has now been met, and the momentum is real.

Power and Partners

Central to the narrative is speed to power, and Fermi's strategic alliance with Hillcore Energy Partners is a bold move to double the campus's capacity to 4.8 GW. Under a build-own-operate-transfer structure, Hillcore will finance, build, and operate its own power facility, with Fermi as the anchor offtaker. This allows Fermi to add 2.6 GW without upfront capital, matching leased demand to power blocks. "We have an amazing site, a 6-gig air permit, power equipment and experienced construction team," said COO Jacobo Blanes. The arrival of three Siemens F-class turbines at the Port of Houston and the partnership with EPC contractors Primoris and TSK underscore the tangible progress. The key here is that Fermi can offer potential tenants something few can: behind-the-meter power on a timeline that aligns with AI compute demand.

This isn't a claim that emerged from nowhere. In the prior quarter, the company had already signaled its scarcity value. As Toby Neugebauer, then-CEO, put it back in March: “We are in a special spot because we have a lot of power and the world recognizes it.” — Toby Neugebauer, Co-Founder and Chief Executive Officer · 2026-03-30 Now, with a signed customer and a stronger balance sheet, that recognition is translating into contracts.

Financial Strength and Leadership

To support this scale-up, Fermi raised $431 million via a 5% convertible note due 2031, upsized from an initial offering. CFO Rob Masson noted the structure: “We closed an upsized offering of more than $430 million of a 5% convertible senior notes due 2031.” — Robert Masson, Chief Financial Officer · 2026-08-13 The capped-call structure protects shareholders from dilution, and the balance sheet now provides runway to negotiate from strength. On the leadership side, the appointment of Lee McIntire as CEO brings deep project-delivery experience, exactly what's needed to get first power in 2027. The company is already in advanced talks with other tenants, including hyperscalers, and the data center partner strategy ensures it can meet customers across the spectrum from powered land to full turnkey.

Fermi has transitioned from a land-and-permit idea to a company with a signed contract, a capital structure, and a clear path to revenue. The stock's recent bounce (up 21.6% over the last 90 days) suggests investors are starting to re-rate the story, but the real test will be flawless execution and the ability to deliver power on schedule. As Haas put it in closing remarks:

We are pleased with where we are, but never fully satisfied. We can always do better, and we will.