Basel Medical(BMGL) Plunges 36.90% After $1B Bitcoin Purchase

Basel Medical(BMGL) shares plummeted to a record low today, with an intraday decline of 36.90%.

The strategy of buying BMGL shares after they reached a recent low and holding for 1 week yielded moderate returns over the past 5 years. The annualized return was 8.91% from May 2020 to May 2025, slightly underperforming the market benchmark. With a final value of $119.69 billion, BMGL outperformed the market but offered more conservative returns than some other stocks, such as Imperial Oil and Philip Morris Intl, during the same period.

Basel Medical Group Ltd (BMGL) has recently announced a significant strategic move by entering into a US$1.0 billion Bitcoin purchase agreement. The plan involves purchasing up to 10,000 BTC, aiming to strengthen its balance sheet and expand healthcare services in Asia. This announcement was made on May 22, 2025, and could potentially impact the stock price of BMGL.

BMGL was listed among today's top stock losers, indicating a possible adverse reaction from the market following the Bitcoin purchase announcement. The market's negative response suggests that investors may be concerned about the risks associated with holding a large amount of Bitcoin, which is known for its volatility. Additionally, the decision to invest in Bitcoin rather than other traditional assets may have raised questions about the company's strategic direction and risk management practices.