Fermi Says Data Center Lease With TensorWave Remains Committed Despite Missed Closing Date

Fermi Inc., the Nasdaq- and London-listed developer operating as Fermi America, said both it and TensorWave remain committed to a data center lease agreement that failed to become effective after its October 31, 2026 closing date passed without an extension, underscoring the complexity of financing and operational conditions that can delay large-scale AI infrastructure transactions.

The Data Center Lease and Services Agreement was signed in August 2026 between Fermi Campus 1 LLC, a wholly owned subsidiary of Fermi, and TensorWave TEX1, LLC. Under its terms, the lease becomes effective only upon the satisfaction or waiver of specified closing conditions, including the execution and delivery of related work letters and guaranties, finalization of operations schedules and a service-level agreement, receipt of Board approvals, and securing project-level financing sufficient to fund construction of the leased premises. Those conditions were not fully satisfied by the October 31 deadline, and the lease has therefore not yet taken effect.

Neither party has exercised any right to terminate the agreement. "Both Fermi and TensorWave remain committed to this lease, and we are continuing to work through the remaining conditions prior to close," said Lee McIntire, Fermi's chief executive officer. "We expect to provide more information on the discussions during our earnings call next week, or sooner if appropriate."

The delay highlights the financing and operational hurdles facing developers racing to bring AI-ready capacity online. Fermi America is developing a 17 GW next-generation private electric grid designed to deliver highly redundant power at gigawatt scale for advanced intelligence and AI compute. Its behind-the-meter Project Matador campus is expected to integrate one of the nation's largest combined-cycle natural gas projects, one of the largest new clean nuclear power complexes in the United States, utility grid power, solar power, and battery energy storage to support hyperscale AI and advanced computing.

The company said it expects to provide further updates on the transaction during its earnings call next week or sooner if appropriate. Fermi noted that its forward-looking statements regarding the expected closing, satisfaction of closing conditions, project-level financing and timing of announcements are subject to risks and uncertainties, including the possibility that conditions are not satisfied or waived on the expected timetable or at all, and that financing is not obtained on acceptable terms.