Medical manufacturer Semler Scientific announced today the acquisition of an additional 247 bitcoins for a total of $17 million, including fees and expenses. This recent purchase was disclosed in an S-3 filing with the U.S. Securities and Exchange Commission on June 6.

Insights from MD Doug Murphy-Chutorian

Following their initial purchase of 581 bitcoins on May 28, Semler now holds a total of 828 bitcoins valued at over $58.5 million. Managing Director Doug Murphy-Chutorian emphasized the company's dual focus on expanding its healthcare business and investing in bitcoin. He highlighted Bitcoin's role as Semler’s principal treasury reserve asset, viewing it as a reasonable hedge against inflation and a safe haven amid global instability.

Future Bitcoin Acquisitions

Semler plans to raise an additional $150 million through debt instruments, allocating a portion of the proceeds for further Bitcoin acquisitions. The company intends to use the net proceeds from the securities sale for general corporate purposes, including increasing its Bitcoin holdings.

Market Reaction and Financial Performance

On May 28, Semler’s stock price surged by 30% after announcing Bitcoin as its principal treasury reserve asset, accompanied by a $40 million investment in 581 bitcoins. Chairman Eric Semler described Bitcoin as a reliable store of value and an attractive investment, citing its unique characteristics as a scarce and finite asset.

In the first quarter of 2024, Semler generated $15.9 million in sales, a 13% decrease from the previous year, but net income rose by 22% to $6.1 million. As of the end of March, Semler’s balance sheet showed $83.86 million in assets.