Healthcare services company KindlyMD (NAKA) share price fell sharply on Tuesday, dropping 12% during trading and another 2.7% after-hours to $7.85. The decline follows the company’s announcement of a $5 billion at-the-market (ATM) equity offering to fund its growing Bitcoin holdings.
Following its recent merger with Nakamoto Holdings, KindlyMD adopted a Bitcoin (BTC) treasury strategy and disclosed that it plans to issue and sell up to $5 billion in common stock through the SEC-approved program.
The proceeds will support general corporate purposes, including Bitcoin accumulation, acquisitions, working capital, capital expenditures, and investments in strategic projects.
“Following the successful completion of our merger between KindlyMD and Nakamoto just two weeks ago and our initial purchase of 5,744 Bitcoin, this initiative is the natural next phase of our growth plan,” said KindlyMD Chair and CEO David Bailey, who also advises the Trump administration on crypto policy.
The company acquired 5,743 BTC on August 19 for roughly $679 million at an average price of $118,204 per Bitcoin. Bailey emphasized the importance of transparency and governance, stating that KindlyMD aims to become “world-class” in both areas as the program progresses.
The stock sales will be conducted through multiple agents, including TD Securities and Cantor, at prevailing market prices on exchanges like Nasdaq.
Meanwhile, Canadian psychedelic truffles company Red Light Holland updated its Bitcoin approach, acquiring 10,600 shares of the BlackRock iShares Bitcoin Trust ETF (IBIT) and planning advanced algorithmic trading with Arch Public.
Despite Tuesday’s drop though, KindlyMD shares have surged 330% since May and are up 550% this year, reflecting strong investor confidence in the company’s bold Bitcoin strategy.
