NewYork GreenCloud, the company 2CRSi presented as the "leading data center operator" behind its $610 million contract, was incorporated on the same day 2CRSi announced the deal.
2CRSi's CEO, Alain Wilmouth, is listed as NYGC's "Co-founder" in a fundraising presentation, and NYGC's website was reportedly built and hosted by 2CRSi's own IT department. Grizzly Research, which holds a short position in 2CRSi, alleges the company fabricated most of its revenue and major contract announcements through undisclosed related parties tied to NYGC and Joseph Church, a veterinarian with no data-center experience.
Ticker: AL2SI.PA (2CRSi SA)
Research Firm: Grizzly Research LLC
Report URL: https://grizzlyreports.com/media-and-third-party-coverage-on-grizzly-researchs-investigation-into-2crsi/?ref=shortreport.fyi
Position Disclosure: Associated persons, clients, and/or investors of Grizzly Research may hold short positions in 2CRSi securities and could benefit if the share price declines. The firm states it may trade the securities after publication and may close its positions.
Thesis
Grizzly Research alleges 2CRSi manufactured its post-Boston Limited growth story, using undisclosed related parties centered on Joseph Church and NewYork GreenCloud to fabricate revenue and contract announcements.
- Boston Exit Timing: 2CRSi's U.S. growth narrative emerged immediately after it lost Boston Limited, the subsidiary that generated €153.8 million of the group's €183.5 million FY2022/23 revenue (more than 83%), with the sale completing June 30, 2023.
- Same-Day Client Formation: NewYork GreenCloud, the counterparty behind 2CRSi's announced $610 million contract, was created the day the deal was announced, and CEO Alain Wilmouth appears as its "Co-founder" in a fundraising presentation.
- Veterinarian-Run Network: Joseph Church, a veterinarian with no data-center experience, allegedly created NYGC and other companies in 2023 and 2024 that are headquartered at a small-animal hospital he co-owns in Plattsburgh, New York.
- Undisclosed Counterparty: Grizzly alleges Church worked closely with 2CRSi since at least 2022, with the two allegedly cross-referencing each other's assets and marketing materials rather than acting as independent parties.
- IT-Built Customer Site: NYGC's website, presented as belonging to a "leading data center operator," was created and hosted by 2CRSi's own IT department, according to the report.
- Delivery Timeline Mismatch: NYGC reportedly will not begin customer discussions until 2028 and does not know what servers it will use, while Church has said California permitting might not start until late 2027 at best and would require over $1 billion in capital, conflicting with 2CRSi's near-term delivery claims under the $610 million contract and $290 million purchase order.
- Dormant Sites: Grizzly says site visits, satellite-image review, and interviews found "close to nothing" occurring at U.S. sites tied to 2CRSi and its subsidiary, 2CRSi Cloud Solutions, with some projects later disappearing from company communications.
- Fabrication Allegation: Grizzly alleges "almost the entire revenue" of 2CRSi was likely fabricated, a fraud allegation it says follows a months-long investigation, though it does not cite a specific filing or named third-party source for the overall conclusion.
Catalysts
- Scheduled equipment deliveries under major announced agreements: Scheduled equipment deliveries under the $610 million contract and $290 million purchase order, due "in the coming months," would test whether claimed near-term demand is real.
- Start of California data-center permitting: Potential start of California data-center permitting, which Church reportedly said could begin no earlier than late 2027 in a best case, where delay would support the report's timeline-mismatch allegation.
- Timing of NYGC customer discussions: NYGC's anticipated customer discussions, not expected until 2028, where earlier or later movement would bear on whether servers are needed now.
- Funding progress for the California project: NYGC's funding for the California project, estimated by Church at more than $1 billion, where progress or lack of it would test project viability.
- External scrutiny and regulatory follow-through: Any scrutiny or action by investors, auditors, or the French Financial Markets Authority in response to the allegations could confirm, contradict, or extend the report's findings.
Company Response
The report does not indicate that 2CRSi was asked for comment on Grizzly's allegations, and no response from the company is noted in the source material.
Notable Details
- Grizzly says Church's companies had never built or operated a single data center, even as 2CRSi promoted NYGC as a major operator behind hundreds of millions of dollars in announced business.
- The report says Church bought old power plants "at scrap value" and pitched them as future "green data centers," despite lacking the hundreds of millions of dollars in funding the projects would require.
- Per 2CRSi's 2022-2023 annual report, the United States accounted for just 3% of revenue by shipping location, versus 41% for the U.K., before the company's post-Boston U.S. growth narrative emerged.
- 2CRSi's stock rose sevenfold over the past year, a run that coincided with a widely circulated photo of CEO Alain Wilmouth shaking hands with French President Emmanuel Macron at the Château de Versailles.
"We do not say this lightly, but we had to conclude after our months-long investigation that 2CRSi is almost a complete fraud."
This appears in the report's introduction, where Grizzly Research states its overarching conclusion after alleging that 2CRSi's revenue and contract announcements relied on undisclosed related parties.
FAQs
What is 2CRSi's ticker AL2SI, and what does the company do?
2CRSi SA trades on Euronext Paris under the ticker AL2SI. The French company, headquartered in Strasbourg, designs, manufactures, and distributes high-performance, energy-efficient computer servers and data-center infrastructure.
What is 2CRSi SA and how did it change after selling Boston Limited?
2CRSi SA is the French server and data-center hardware group at the center of the report. Per its own press release, Boston Limited generated €153.8 million of the group's €183.5 million revenue in FY2022/23, more than 83% of the total, before 2CRSi sold the subsidiary on June 30, 2023, and pivoted its growth narrative toward U.S. operations.
Who is Grizzly Research and what does it allege about 2CRSi?
Grizzly Research is a short-biased research firm that published its report on 2CRSi on June 18, 2026, after what it describes as a months-long investigation. The firm alleges 2CRSi fabricated much of its revenue and contract announcements through undisclosed related parties, principally NewYork GreenCloud and Joseph Church, and discloses that it and its associates may hold a short position in 2CRSi securities.
What is NewYork GreenCloud and why does it matter to 2CRSi investors?
NewYork GreenCloud (NYGC) is the company 2CRSi identified as the customer behind its $610 million contract and a subsequent $290 million purchase order. Grizzly alleges NYGC was created the day the $610 million deal was announced, that 2CRSi's CEO is listed as its "Co-founder," and that its website was built by 2CRSi's own IT department.
Who is Joseph Church?
Joseph Church is a veterinarian and co-owner of a small-animal hospital in Plattsburgh, New York, that Grizzly says serves as the headquarters address for NYGC and related companies. The report alleges Church, who it says has no data-center experience, had worked closely with 2CRSi since at least 2022 and helped facilitate its U.S. announcements.
What happened to Boston Limited, 2CRSi's former subsidiary?
Boston Limited was 2CRSi's largest revenue source, generating €153.8 million in FY2022/23 out of the group's €183.5 million total. 2CRSi sold the unit on June 30, 2023, and later disclosed, at the request of the French Financial Markets Authority, that comparable revenue excluding Boston was €34.7 million versus €167.6 million in the following twelve-month period.
What are the $610 million contract and $290 million purchase order tied to 2CRSi?
2CRSi announced a $610 million contract and a later $290 million purchase order that it linked to NewYork GreenCloud, describing NYGC as a "leading data center operator." Grizzly alleges NYGC has never built or operated a data center and would not begin discussions with prospective customers until 2028, raising doubts, per the report, about the near-term deliveries 2CRSi announced.
Has 2CRSi responded to the Grizzly Research allegations?
No response from 2CRSi is noted in the source report, and there is no indication the company was asked for comment before publication.
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