Healthcare technology and software firm Semler Scientific is making waves in the cryptocurrency world, announcing plans to raise $75 million through a private offering of convertible senior notes maturing in 2030. The funds will support various corporate activities, including a significant boost to its Bitcoin treasury.
The announcement follows Semler’s impressive fourth-quarter 2024 earnings report, which revealed a $28.9 million unrealized gain from its Bitcoin holdings. On January 13, the firm acquired an additional 237 BTC, bringing its total to 2,321 BTC—worth approximately $241 million at Bitcoin’s current trading price of $105,000.
“We are excited to continue executing on our Bitcoin treasury strategy,” said Doug Murphy-Chutorian, CEO of Semler Scientific. His comments echo the firm’s commitment to Bitcoin, a strategy initiated in May 2024 when it made its first purchase of 581 BTC, propelling its share price by 30% in the aftermath.
Bitcoin’s Role in Corporate Growth
Semler’s Bitcoin strategy mirrors a growing trend among public companies leveraging the cryptocurrency as a treasury asset. Inspired by MicroStrategy’s well-documented success, firms across various sectors are diversifying into Bitcoin to capitalize on its potential for long-term gains.
Bitcoin’s recent performance further validates this strategy. The cryptocurrency recently achieved a record high of $109,000, spurred by market optimism ahead of former President Donald Trump’s inauguration on January 20.
Semler’s preliminary financial results for Q4 2024 estimate revenue between $12.1 million and $12.5 million, with operating income projected at $3.4 million to $3.7 million. Despite these positive developments, the company’s stock (SMLR) experienced a 1.55% decline on January 23, with an additional 12% drop in after-hours trading, closing at $53.75.
Semler Joins the Ranks of Bitcoin-Heavyweights
Semler’s current Bitcoin holdings rank 13th among public companies, far behind MicroStrategy, the undisputed leader with 461,000 BTC worth $48 billion. MicroStrategy’s aggressive Bitcoin acquisition strategy has inspired other firms, such as AI developer Genius Group and YouTube competitor Rumble, to follow suit.
While Semler’s stock remains below its October 2021 peak of $149.99, the company is betting that its Bitcoin-focused strategy will deliver long-term value. As more firms explore the potential of cryptocurrency as a treasury reserve, Semler Scientific stands out as a notable player in the evolving intersection of technology, healthcare, and digital assets.
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