KindlyMD (NASDAQ:NAKA) saw its stock fall 30% in premarket trading on Wednesday after the health care company revealed a major Bitcoin-related investment initiative.
The company’s subsidiary, Nakamoto Holdings Inc., agreed to invest up to $30 million in Metaplanet Inc., a Japanese firm specializing in Bitcoin treasury management. By contrast, Metaplanet shares jumped 16% earlier on Wednesday in Japan.
The investment will be executed as an international equity financing in Metaplanet stock. According to the announcement, the funds are expected to be used primarily to purchase Bitcoin.
The transaction is scheduled to close on September 16, with the delivery of shares expected the following day, September 17.
“We believe this investment will further strengthen the global network of companies placing Bitcoin at the center of institutional finance,” said David Bailey, chairman and CEO of KindlyMD.
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