Kindly MD Delays Earnings Report Filing Amid Merger Losses and Accounting Complexities
Kindly MD (NAKA) announced that it will miss the Form 10-Q filing deadline for the quarter ended September 30 due to complex merger-related accounting issues and expects to file within the SEC's five-day extension period.
The delay follows the August merger with Nakamoto Holdings, which created a publicly traded bitcoin treasury vehicle; as a result, Kindly MD now owns 5,765 bitcoins, ranking it as the 19th largest bitcoin treasury company.
Preliminary results reveal substantial losses related to the merger, including a $1.41 million realized loss on digital assets, a $22.07 million unrealized loss, a $14.45 million loss on extinguishment of debt, and a $59.75 million loss on the Nakamoto acquisition. These were partially offset by a $21.85 million gain.
Shares of Kindly MD are trading at $0.57, down 7% on the day.
The accounting complexities involving US GAAP standards and PCAOB review requirements have necessitated additional time to ensure the accuracy and completeness of the Form 10-Q filing.
