Former Texas Gov. Rick Perry lost reelection to his seat on the board of directors of Fermi, a planned power and data center company he co-founded, according to a transcript of a shareholder vote at an annual meeting on Friday. The Texas Tribune obtained the transcript. The Tribune said it could not immediately reach Perry for comment.
Fermi aims to become the largest data center and power generation campus in the United States. The Tribune reported that the company has had a turbulent first two years, including a turbulent ownership battle and difficulty finding a major tenant. The Tribune said the company's stock has fallen more than 90% from its peak price. Perry, who served as energy secretary during President Donald Trump's first term, co-founded the company after former CEO Toby Neugebauer approached him. Perry's son, Griffin, owns about 60 million shares, just under 10% of the company, through Caddis Holdings LP.
In a statement, a Fermi spokesperson said Perry and board member Jeffrey S. Stein, who also lost reelection, will remain on the board until their successors are elected, and that both are eligible for reelection. The statement said both received a majority of the votes cast, but company bylaws require a majority of all shares. The company said the proposal failed after what it believes was a breach of contractual voting obligations by the Neugebauer shareholders.