Mustang Bio (MBIO) Registration Filing summary

Company overview and business model

• Clinical-stage biopharmaceutical company focused on CAR T therapies for hematologic malignancies and solid tumors, with exclusive licenses from leading research institutions.

• Business model centers on acquiring, licensing, and developing advanced cell and gene therapies, with the goal of out-licensing or commercializing these technologies.

• Pipeline includes MB-106 (CD20-targeted CAR T for NHL/CLL), MB-101 (IL13Ra2 CAR T for glioblastoma), and MB-109 (combination CAR T and oncolytic virus for brain tumors).

• Recent strategic shift to prioritize autoimmune disease indications for MB-106 and discontinue several non-core programs.

• Majority-controlled subsidiary of Fortress Biotech, Inc., qualifying as a “controlled company” under Nasdaq rules.

Financial performance and metrics

• No product sales to date; accumulated deficit of $395.8 million as of September 30, 2024.

• Net loss of $14.8 million for the nine months ended September 30, 2024, compared to $43.0 million for the same period in 2023.

• Cash and cash equivalents of $3.5 million as of September 30, 2024.

• Significant reduction in operating expenses due to workforce reduction and program terminations.

• Substantial doubt exists regarding ability to continue as a going concern without additional capital; current funds expected to last through Q4 2025 with proceeds from this offering.

Use of proceeds and capital allocation

• Estimated net proceeds of $6.9 million (assuming full sale), to be used for working capital, general corporate purposes, and payment of outstanding payables.

• Management has broad discretion over use of funds; may include R&D, manufacturing, licensing, and capital expenditures.

• Proceeds may only fund operations for a limited period; additional financing will be required for long-term plans.