Semler Scientific, a healthcare technology firm, has recently announced the acquisition of an additional 247 BTC for its corporate balance sheet. This purchase was made for $17 million, averaging $68,825 per coin. With this recent acquisition, Semler’s total Bitcoin holdings now amount to 828 BTC, acquired for $57 million in total. Despite the modest increase in value of $1 million on its investment, the company remains focused on expanding its healthcare business and acquiring and holding Bitcoin, according to CEO Doug Murphy-Chutorian.
Following the footsteps of MicroStrategy, Semler Scientific is showing a commitment to its Bitcoin strategy by disclosing the issuance of up to $150 million of debt securities and common stock to purchase more Bitcoin. This move is part of the company’s strategy to make Bitcoin its primary treasury reserve asset. The market response to Semler’s Bitcoin acquisitions has been positive, with the company’s stock surging 33% the day it announced its first purchase and increasing by another 9% following the recent announcement. Currently, Semler’s market cap stands at $223 million, almost four times the value of the BTC on its balance sheet.
A Thursday SEC filing from Semler revealed the company’s plans to execute a $150 million debt securities sale, with the proceeds intended for general corporate purposes, including the acquisition of Bitcoin. This approach mirrors MicroStrategy’s strategy of issuing convertible notes to fund its Bitcoin acquisitions. With the belief that Bitcoin is a compelling investment and a reliable store of value, Semler intends to continue purchasing Bitcoin with cash. The company’s chairman, Eric Semler, highlighted Bitcoin’s potential for outsize returns and preference over gold due to its digital and architectural resilience.
Semler’s move towards acquiring Bitcoin aligns with a growing trend among public companies, following the lead of firms like MicroStrategy. In addition to Semler, Japanese firm Metaplanet has also revealed its goal of acquiring as much BTC as possible, resulting in a significant increase in its stock performance. Apart from buying BTC with cash, Semler is open to exploring the use of capital markets in ways that are viewed as beneficial to shareholder value and Bitcoin holdings. The company remains committed to its strategy of expanding its healthcare business while concurrently building its BTC holdings as part of its long-term financial strategy.
