New Era Energy & Digital Refutes Short Seller’s Allegations

Texas-Based Digital Infrastructure Firm Rejects Short Seller Claims as Market Manipulation

New Era Energy & Digital has issued a strong rebuttal to allegations made by short seller group Fuzzy Panda Research, calling the claims “factually inaccurate” and a deliberate attempt to manipulate the company’s stock price. The Midland, Texas-based company, which trades on the Nasdaq under the ticker NUAI, released its statement just one day after Fuzzy Panda published a critical report on December 11.

In its response, New Era emphasized that investors should rely on the company’s official SEC filings rather than the anonymous short seller’s characterization of its operations and financial status. The company provides digital infrastructure and integrated power assets focused on the Permian Basin, a region known for its energy resources that has increasingly become a destination for data center development.

CEO E. Will Gray II expressed frustration with what the company views as market manipulation, stating, “We take false claims against our company seriously, especially when it is to mislead and manipulate the market.” Gray noted that the company has maintained transparent communication with shareholders about its project status and revealed that New Era had no interaction with Fuzzy Panda prior to the publication of the report.

The dispute highlights the increasingly common tension between publicly traded companies and short sellers. Short sellers profit when stock prices decline by borrowing shares, selling them at current market prices, and later repurchasing them at lower prices to return to the lender. Their research reports can significantly impact market perception, sometimes leading to rapid stock price movements.

New Era’s business model positions it at the intersection of two high-growth sectors: energy and digital infrastructure. The company develops turnkey solutions for data center operators, including hyperscale providers, with a focus on powered land and “powered shells” – prepared facilities that clients can customize for their specific computing needs.

Gray projected confidence in the company’s trajectory despite the short seller attack, promising “several key announcements to come in the coming weeks.” This forward-looking stance suggests the company plans to counter the negative report with positive operational updates.

The Permian Basin, where New Era focuses its operations, has attracted increasing attention from technology infrastructure developers due to its abundant energy resources and potential for powering energy-intensive data centers. As artificial intelligence applications drive computing demand and related power requirements higher, regions with accessible energy resources have become strategically important for digital infrastructure expansion.

New Era cautioned investors about the forward-looking statements in its release, noting various risk factors that could affect actual results, including the company’s ability to operate its business segments effectively, manage growth, and compete in a rapidly evolving industry.

The confrontation between New Era and Fuzzy Panda represents a microcosm of broader market dynamics where traditional energy regions increasingly intersect with digital transformation, creating both opportunities and vulnerabilities that investors and market participants must navigate.

The company directed investor and media inquiries to its investor relations contact, indicating its willingness to address concerns raised by the short seller report through official channels.