Key highlights:
- KindlyMD acquired 5,743.91 BTC for approximately $679 million via its subsidiary Nakamoto Holdings.
- The purchase is the company’s first major Bitcoin acquisition following its merger with Nakamoto Holdings.
- The acquisition follows a $200 million convertible note offering, adding to $540 million previously raised through PIPE financing.
KindlyMD (NAKA), a healthcare provider and Bitcoin treasury vehicle, has announced a major Bitcoin acquisition totaling approximately $679 million.
The company, through its wholly owned subsidiary Nakamoto Holdings, purchased 5,743.91 BTC at a weighted average price of $118,204.88 per coin. This brings KindlyMD’s total Bitcoin holdings to 5,764.91 BTC.
The acquisition marks the first significant Bitcoin purchase by KindlyMD since completing its merger with Nakamoto Holdings earlier this month. The company funded the buy using proceeds from a private investment in public equity (PIPE) financing round, which raised $540 million.
KindlyMD CEO and chairman David Bailey commented:
Under the newly formed Nakamoto Bitcoin Treasury, the company aims to accumulate one million BTC, a goal it frames as central to establishing Bitcoin as a foundational institutional reserve asset. The firm is promoting transparency and long-termism as core to its capital deployment strategy.
Financing strategy raises investor concerns
Prior to announcing the Bitcoin acquisition, KindlyMD announced it closed a $200 million convertible note offering with Yorkville Advisors’ YA II PN fund. The notes are interest-free for the first two years, after which they carry a 6% annual rate until maturity in 2028.
However, the deal structure includes potentially dilutive terms. Yorkville can convert the debt into equity at a fixed price of $2.80 per share, and KindlyMD must post double the principal in Bitcoin as collateral, raising eyebrows among investors. NAKA shares fell 11.2% on the news, mirroring a broader dip in Bitcoin treasury-related equities.
Despite short-term market pressure, KindlyMD says it remains committed to expanding its Bitcoin reserves and pursuing its dual-sector strategy. With nearly $750 million already invested in BTC, the company is positioning itself as a bold and unconventional player in both healthcare and digital finance.
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Source: https://coincodex.com/article/71688/kindlymd-naka-buys-679m-worth-of-bitcoin-in-first-post-merger-treasury-move/
