Healthcare tech and software firm Semler Scientific is planning to raise $75 million to buy more Bitcoin after it reported a $29 million paper gain from its current holdings.
Semler said in a Jan. 23 press release that it would raise the millions through a private offering of convertible senior notes set to mature in 2030, with some proceeds going toward corporate activities, including buying more Bitcoin (BTC).
The company also on Jan. 23 released fourth quarter 2024 earnings results showing that its Bitcoin holdings have hit an unrealized gain of $28.9 million.
The firm bought 237 BTC on Jan. 13, bringing its total to 2,321 BTC. With the cryptocurrency trading at around $105,000, that total holding is worth $241 million.
Source: Eric Semler
Semler first bought Bitcoin in May, following a trend of other public-listed firms that bought the crypto hoping to see gains. Semler shares jumped 30% after it announced its initial buy of 581 BTC on May 28.
“We are excited to continue executing on our Bitcoin treasury strategy,” Semler CEO Doug Murphy-Chutorian said in a statement.
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Last November, he said Semler Scientific remains laser-focused on acquiring and holding Bitcoin.
Bitcoin has since seen several new all-time highs, clocking a peak of $109,000 ahead of US President Donald Trump’s inauguration on Jan. 20.
The rest of Semler’s preliminary financial results for the fourth quarter estimate revenue of between $12.1 million and $12.5 million and operating income ranging from $3.4 million to $3.7 million.
Shares in Semler (SMLR) closed 1.55% down on Jan. 23 and continued to fall over 12% in after-hours trading to $53.75, according to Google Finance.
Semler stock dived after the bell on Jan. 23 after announcing its fundraising plan and quarterly results. Source: Google Finance
SMLR is up over 38% in the last 12 months but still below its October 2021 all-time high of $149.99.
Other companies, including drugmaker Hoth Therapeutics, artificial intelligence developer Genius Group and YouTube alternative Rumble, have also bought Bitcoin, a treasury strategy popularized by MicroStrategy.
MicroStrategy holds 461,000 Bitcoin worth $48 billion after its latest buy between Jan. 13 and Jan. 20, according to Saylor Tracker. That’s more than any public firm.
Semler’s Bitcoin treasury ranks 13th in size among public companies.
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