Semler Scientific To Raise $150M To Buy More Bitcoin

5 months ago 3
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Medical device manufacturer Semler Scientific (Nasdaq: SMLR) announced it acquired 247 additional Bitcoin for $17 million in cash, bringing its total holdings to 828 BTC. The company also plans to raise $150 million to expand its Bitcoin reserves.

JUST IN: BlackRock spot #Bitcoin ETF IBIT had $347.1 million inflows today. pic.twitter.com/SIKByVcctA

— Bitcoin Magazine (@BitcoinMagazine) June 6, 2024

Semler made waves last month when it adopted Bitcoin as its primary treasury reserve asset, mimicking MicroStrategy's influential corporate Bitcoin accumulation strategy. After its initial 581 bitcoin purchase, Semler has continuously acquired more coins.

CEO Doug Murphy-Chutorian said "Semler remains focused on our two strategies of expanding our healthcare business and acquiring and holding bitcoin. We will continue to pursue our strategy of purchasing Bitcoins with cash."

The company filed an S-3 form with the SEC outlining its plan to raise $150 million in debt, a portion of which will go toward buying more Bitcoin. Semler noted in the filing that it sees bitcoin as a "reasonable inflation hedge and safe haven amid global instability."

Semler is following the lead of MicroStrategy, which has accumulated over 200,000 Bitcoin and catalyzed the recent trend of public companies adding Bitcoin to their balance sheets. After MicroStrategy began its Bitcoin buying spree in 2020, its stock price rose dramatically as investors responded positively.

Other firms like Japanese public company Metaplanet have also started following MicroStrategy's Bitcoin treasury allocation playbook this year. They recognize that holding scarce asset like Bitcoin can potentially boost their enterprise value.

This demonstrates Bitcoin's game theory in action, as corporations increasingly adopt Bitcoin to maximize shareholder value. Semler's continued acquisition of Bitcoin reflects its belief that adding it to its balance sheet can significantly enhance its business.

As this recent trend gains mainstream validation, more public firms will likely warm to Bitcoin and follow Microstrategy's playbook. 

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