- KindlyMD merges with Nakamoto Holdings to secure $710M to launch a Bitcoin treasury vehicle.
- David Bailey will lead the newly formed Bitcoin treasury firm after the KindlyMD merger.
- $710M financing includes $510M PIPE and $200M convertible notes boosting BTC strategy.
KindlyMD, a healthcare services provider, is merging with Nakamoto Holdings, a Bitcoin-native holding company created by David Bailey. This merger will seek to develop a publicly traded Bitcoin treasury vehicle marking a notable shift towards incorporating Bitcoin into world capital markets. The deal can create a strong entry into the emerging Bitcoin treasury strategies market.
$710 Million Financing Secures Largest Bitcoin Treasury Launch
The newly announced entity will be backed by an impressive $710 million in financing. This capital includes $510 million raised through a private placement in public equity (PIPE), priced at $1.12 per share, and $200 million in senior secured convertible notes due in 2028.
Moreover, the PIPE attracted more than 200 investors worldwide, including institutional firms like VanEck, ParaFi, and Arrington Capital. The financing has made it the largest capital raise in history. The proceeds will be used to launch a Bitcoin treasury highlighting mainstream adoption of Bitcoin as a financial instrument.
David Bailey, the CEO of Nakamoto Holdings, stated that the strategy involves accumulating Bitcoin and increasing per-share BTC holdings through a combination of equity, debt, and structured offerings. He added that Nakamoto’s mission is to bring Bitcoin to the center of global capital markets, packaging it into equity, debt, and other structures for global exchange listings.
Leadership and Operational Structure Post-Merger
The merger positions David Bailey as the CEO of the new entity, and Tim Pickett, the CEO of KindlyMD will continue managing healthcare operations. KindlyMD will continue specializing in integrated healthcare services like pain management and mental health care and operating its four clinics in Utah.
The newly formed company will be named later, and the stock ticker will also change. Moreover, KindlyMD trades under the ticker “KDLY” on Nasdaq, but a new ticker symbol will be announced after the merger’s completion. At press time, KindlyMD (KDLY) was up by 251.03%, $13.69, from its previous close of $3.90, before declining in after-hours trading.
The Nakamoto Holdings strategy, similar to that of the Michael Saylor-led Strategy, will combine traditional finance with Bitcoin-native markets. This merger reflects a trend that Bitcoin continues to play a critical role in corporate balance sheets, indicating that traditional finance is now converging with the cryptocurrency markets.
However, the transaction has not received shareholder approval or regulatory clearance. Once the newly merged company is complete, it will inherit Nakamoto Holdings’ marketing services agreement with BTC Inc., a major stakeholder within the Bitcoin ecosystem. BTC Inc. will help market the Bitcoin treasury operations since the firm seeks to speed up Bitcoin adoption and utility.
In addition, further information about the merger will be disclosed in a Current Report on Form 8-K, which will be filed with the SEC after the deal is completed.
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