Profusa Inc., a digital health company based in California, plans to buy Bitcoin as its primary treasury reserve asset through an equity financing arrangement valued at up to $100 million. The company announced in a press release on July 21.
Profusa disclosed it signed a Securities Purchase Agreement with Ascent Partners Fund LLC that would allow Profusa to sell its common stock and use the proceeds to purchase Bitcoin. The company expects the first Bitcoin purchases to take place this week, with details on holdings to be included in its quarterly financial reports.
Equity Line Agreement Details
Under the terms of the equity line of credit (ELOC), Profusa can sell shares of its common stock to Ascent at 97% of the lowest volume-weighted average price (VWAP) during the five trading days following each share sale, or “put.” Each put is capped at the lesser of $5 million or the full average daily traded value of Profusa’s shares over the five days preceding the put date.
If Profusa’s cash balance at the time of any put is less than $5 million, the company will first allocate proceeds to reach that balance. Remaining funds will then be directed toward purchasing Bitcoin. If the cash balance exceeds $5 million, all net proceeds will go to Bitcoin purchases, which can also be used for debt repayment.
The agreement limits share issuance under the ELOC—including shares tied to related warrants—to 19.9% of Profusa’s currently outstanding shares unless shareholders approve issuing more. As part of the deal, Profusa will issue cashless warrants allowing Ascent to buy 900,000 shares at an exercise price of $0.01 per share.
Strategic Shift to Bitcoin
Profusa Chairman and CEO Ben Hwang said the move aims to protect shareholder value in response to what the company sees as accelerating monetary debasement. “Holding Bitcoin on our balance sheet represents a strategic move to safeguard shareholder value and align with a digital future,” Hwang said in a statement.
The company, which focuses on AI-driven digital health technology for chronic disease and wellness monitoring, said it views Bitcoin as a long-term store of value. Profusa joins a growing list of public companies that have added Bitcoin to corporate reserves.
Completion of the ELOC remains subject to final agreements and customary closing conditions. Profusa said the strategy is designed to be low-cost and capital efficient while maintaining focus on its core business in digital health. Profusa trades on the Nasdaq under the ticker symbol PFSA and is headquartered in Berkeley, California.
