Fermi Energy, an artificial intelligence and nuclear power startup, announced the sudden departure of its CEO and CFO, causing shares to plummet in Friday trading. The company, which is developing a large-scale data center campus in Texas, filed securities documents confirming the executive changes.

Co-founder and CEO Toby Neugebauer, a Dallas billionaire, stepped down from his leadership role while remaining as a member of the company's board. The departure of both top executives represents a significant reshuffling of the firm's leadership structure during a critical development phase for its primary project.

The startup was co-founded by former U.S. Energy Secretary Rick Perry and has been working to establish an AI-focused data center campus in Texas. The project has encountered various operational challenges as the company seeks to position itself in the rapidly growing intersection of artificial intelligence and energy infrastructure.

Fermi's stock price declined sharply following news of the leadership changes, reflecting investor concerns about the company's strategic direction and project execution capabilities. The executive departures come as the data center industry experiences heightened competition and significant capital requirements for large-scale AI infrastructure projects.

The company has not yet announced permanent replacements for the departing executives or provided detailed timelines for the leadership transition. Fermi's board will likely need to address investor concerns while maintaining momentum on its Texas data center development amid the ongoing management changes.