Spectral AI Provides Instructions for Retail Investors on Exercising Publicly-Traded Warrants

Rhea-AI Summary

Spectral AI (NASDAQ: MDAI), developer of the AI-driven DeepView® System for burn healing prediction, has provided detailed instructions for retail investors on exercising publicly-traded warrants (NASDAQ: MDAIW). The process requires investors to: contact their broker's corporate actions department, ensure sufficient funds for the $2.75 per warrant exercise price plus fees, submit an exercise request with warrant details, and wait for MDAI common shares to be deposited into their account. If exercising fewer warrants than owned, investors will receive a new warrant for remaining shares. The company notes that individual brokers may have additional requirements.

Positive

• Company provides clear process for warrant conversion to equity
• Warrants exercisable at $2.75 per share, providing potential funding source

Negative

• Warrant exercise may result in dilution for existing shareholders

Insights

Financial Analyst

The warrant exercise announcement appears routine and procedural, providing basic instructions for retail warrant holders without containing material financial impact. While warrants represent potential future capital if exercised, this announcement simply outlines the mechanical process rather than indicating any significant warrant exercises or capital raises. The $2.75 exercise price relative to current trading levels and lack of urgency in the announcement suggests this is more of an administrative update than a strategic capital markets event.

The announcement lacks key details that would make it financially impactful, such as: 1) The total number of outstanding warrants, 2) Current warrant exercise activity levels, 3) Potential dilution impact, or 4) Use of proceeds from any exercises. Without these elements, this appears to be standard investor relations guidance rather than market-moving news.

DALLAS, Dec. 31, 2024 (GLOBE NEWSWIRE) -- Spectral AI (NASDAQ: MDAI) (“Spectral AI” or the “Company”), developer of the AI-driven DeepView® System, which received Breakthrough Device Designation from the U.S. FDA in 2018, that uses multi-spectral imaging and algorithms to predict burn healing potential, today announced instructions for retail investors on how to exercise any publicly-traded warrants (NASDAQ: MDAIW). The warrant exercise process includes the following steps:

1. Contact Your Brokerage Firm. You should contact your broker’s corporate actions department to initiate the warrant exercise process.
2. Ensure Sufficient Funds in your Brokerage account. You will need to confirm that your brokerage account has adequate funds to cover the exercise price of $2.75 per warrant, plus any applicable fees.
3. Submit Exercise Request to your Broker. Your broker will request the following details (at a minimum):
   1. Warrant Symbol: MDAIW
   2. Number of Warrants to Exercise
4. Processing and Settlement of the Exercise. Once processed by your Broker, the corresponding number of MDAI common shares will be deposited into your brokerage account. Processing time may vary based on your broker. If you elect to exercise less than the full amount of warrants per your warrant agreement, the Company will issue you a new warrant for the remaining warrant shares.
5. Broker-Specific Guidance. Individual brokerage firms may have separate requirements in addition to the items listed above. General guidance would include reaching out to your broker’s corporate action department and/or customer service department.
   

About Spectral AI

Spectral AI, Inc. is a Dallas-based predictive AI company focused on medical diagnostics for faster and more accurate treatment decisions in wound care, with initial applications involving patients with burns and diabetic foot ulcers. The Company is working to revolutionize the management of wound care by “Seeing the Unknown®” with its DeepView® System. DeepView is a predictive device that offers clinicians an objective and immediate assessment of a wound’s healing potential prior to treatment or other medical intervention. With algorithm-driven results and a goal of exceeding the current standard of care in the future, DeepView is expected to provide faster and more accurate treatment insight towards value care by improving patient outcomes and reducing healthcare costs. For more information about DeepView, visit www.spectral-ai.com.

Forward-Looking Statements

Certain statements made in this release are “forward looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s intention to separate its Spectral IP subsidiary from the Company, and each Company’s strategy, plans, objectives, initiatives, strategic goals, financial outlook or other non-historical matters. When used in this press release, the words “estimates,” “projected,” “expects,” “anticipates,” “forecasts,” “plans,” “intends,” “believes,” “seeks,” “may,” “will,” “should,” “future,” “propose” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside Company’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. As such, readers are cautioned not to place undue reliance on any forward-looking statements. Investors should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” sections of the Company’s filings with the SEC, including the Registration Statement and the other documents filed by the Company. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Spectral AI undertakes no obligation to update any forward-looking statements except as otherwise required by law.

For Media and Investor Relations, please contact:

David Kugelman
Atlanta Capital Partners LLC
(866) 692-6847 Toll Free - U.S. & Canada
(404) 281-8556 Mobile and WhatsApp
Email: dk@atlcp.com

FAQ

What is the exercise price for Spectral AI (MDAI) warrants?

The exercise price for Spectral AI (NASDAQ: MDAI) warrants is $2.75 per warrant, plus any applicable broker fees.

How can retail investors exercise Spectral AI (MDAI) warrants?

Retail investors can exercise MDAI warrants by contacting their broker's corporate actions department, ensuring sufficient funds for the $2.75 per warrant exercise price plus fees, and submitting an exercise request with their broker.

What happens if investors exercise only part of their MDAI warrants?

If investors exercise less than their full amount of warrants, Spectral AI will issue a new warrant for the remaining warrant shares.

What is the trading symbol for Spectral AI's warrants?

Spectral AI's publicly-traded warrants trade under the symbol MDAIW on NASDAQ.