From what I read, the idea says that the thin shell of material forms just outside of where the event horizon would be. (This idea, which replaces black holes with objects called gravastars, was formulated by Mazur/Mottola some time around 2002.) If this phenomenon is true, it prevents a black hole from forming, but just barely. The surrounding space-time would still apparently behave just like a black hole outside the event horizon (but there would be stronger ejected matter jets & x-ray emission than in a standard black hole).
I have to honestly say that I don't understand how this would solve the dark matter problem any more than saying it is tucked away into black holes, though. (Primordial black holes would have to evaporate into observable photons by Hawking radiation, whereas these entities don't, I'm guessing...)
Some older links on the matter:
Is black hole theory full of hot air? (Typically misleading title courtesy of CNN)
Great article, snarks - always fun to discuss true controversies in science.
Thanks...and thanks for the links...