Spectral AI Names Erich Spangenberg CEO of its IP Focused Subsidiary and Explores Potential Spin-Off of that Subsidiary

Spangenberg brings significant IP monetization experience and the potential to unlock additional value for Spectral AI shareholders

DALLAS, April 24, 2024 (GLOBE NEWSWIRE) -- Spectral AI, Inc. (Nasdaq: MDAI) (“Spectral AI” or the “Company”), an artificial intelligence (AI) company focused on medical diagnostics for faster and more accurate treatment decisions in wound care, today announced that Erich Spangenberg has been appointed as the Chief Executive Officer of its health care IP-focused subsidiary, Spectral IP.

“Spectral AI is fortunate that our largest shareholder, Erich Spangenberg, has agreed to assume the CEO role at Spectral IP. Erich has consistently been recognized for his unrivaled track record in global IP investment, monetization, enforcement, acquisition, and licensing,” said Pete Carlson, CEO of Spectral AI. “Our goal with Spectral IP is to create a health care IP-focused enterprise that potentially provides additional IP protection for the Company and unlocks additional value for MDAI shareholders while requiring limited Company management resources and no additional capital from the Company. As CEO of Spectral IP, Erich will report to me and to our Board as he prepares Spectral IP for a potential spin-off.”

Erich Spangenberg stated, “I believe Spectral IP represents a significant opportunity to deliver additional value to Spectral AI shareholders. One of my affiliates has provided Spectral IP with $1.0 million of debt capital. I believe I can secure an additional $5.0-$10.0 million of equity capital for our new entity, which I believe will be more than adequate to fund Spectral IP for approximately one year after a possible spin-off transaction is completed. As the largest shareholder and investor in Spectral AI, I plan to utilize my global network and my decades of IP experience to focus on health care IP-related investments and acquisitions. These IP-related investments and acquisitions will include licensing, sales, royalty finance, credit-related and other diverse financial opportunities within the IP class.”

Mr. Spangenberg is the Founder and co-Managing Partner at Sauvegarder Investment Management (SIM), a multi-strategy investment firm dedicated to IP-related financing and investment opportunities. SIM invests across IP as an asset class and across jurisdictions, primarily focusing on the US, Europe, and Asia. He is recognized by various publications as one of the world’s top-50 IP strategists, credited with being one of the people who is changing the way people think about and use patents. After an early career that included partnership in a leading global law firm, investment banker, and business executive, in 2003, Erich focused his business efforts on IP investment opportunities. Erich has been involved as a principal in over 1,000 IP licensing transactions that generated over $500 million in revenue and as a principal and advisor on over $2 billion of patent financing and technology acquisition transactions.