Asset Manager Strive has reached a deal to buy Bitcoin-centric Semler Scientific in a completely equity-based transaction rather than a cash-based transaction.
Under the terms announced on September 22nd, each Semler Scientific Share will be converted to 21.05 effort class A common stock, valued its target at $90.52 per share. This price represents a premium of over 200% compared to recent market value.
The merger outlines the company's two-track plans for the future. Semler's well-established diagnostic lines could be spun to monetize directly or provide shareholder returns.
At the same time, Strive and Semler leaders plan to broaden the scope of preventive diagnosis, with new management teams leading the transition.
Strive's current director will remain and Semler Scientific Executive Chairman Eric Semler will be taking part in the combined board meeting.
Semler calls the arrangement a way to ensure “direct participation in one of the most innovative Bitcoin strategies in the public market,” pointing to an opportunity to evolve corporate diagnostic tools into a preventive care platform focused on early detection of chronic diseases.
Bitcoin Ministry of Finance
In addition to the acquisition announcement, Strive revealed a key balance sheet move to acquire 5,816 Bitcoin at an average price of $116,047. This totaled $675 million, including fees.
This addition has raised the Strive Ministry of Finance to 5,886 BTC. Public Data Trackers say the total company is expected to control over more than 10,900 BTC once the merger is closed.
“We're committed to providing a range of services to our customers,” said Matt Cole, chairman and CEO of Strive.
“We believe our strategy and capital structure for alpha shows us to be superior to Bitcoin in the long run. This transaction demonstrates how Bitcoin Holding and Bitcoin can be used to promote equity value additions at an unparalleled pace in the industry.”
These transactions illustrate Strive's preferred positioning strategy as a Digital Asset Treasury operator. Earlier this year, the company was able to absorb asset entities, rebrand under the name of the effort, and continue trading on Nasdaq.
At the time, executives described the model built on exchanging Bitcoin stocks. This is an approach that advocates to increase tax efficiency and acquire companies that are rich in cash but undervalued in the stock market.
