Mustang Bio, Inc. (NASDAQ:FBIO) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers

Item 5.02

On April 24, 2017, Mustang Bio, Inc. (the Company) announced that
Manuel Litchman, M.D., has been appointed President and Chief
Executive Officer. Dr. Litchman has also joined the Companys
Board of Directors.

Dr. Litchman joins the Company from Arvinas, LLC (Arvinas), where
he served as President and Chief Executive Officer. While at
Arvinas, Dr. Litchman oversaw the advancement of the companys
pipeline of protein-degradation therapeutics for the treatment of
cancers and other diseases toward Investigational New Drug
applications, as well as the execution of multi-target discovery
collaborations with Merck and Genentech. Prior to Arvinas, Dr.
Litchman spent more than 18 years with Novartis Pharmaceuticals
Corporation, where he held positions of increasing responsibility
related to the development of Novartis oncology pipeline. Most
recently, Dr. Litchman served as Senior Vice President and
Executive Global Program Head, CTL019, Cell Gene Therapies Unit,
where he led a collaboration with the University of Pennsylvania
investigating chimeric antigen receptor modified T cells (CAR Ts)
directed against CD19 on B cell malignancies. Prior to the CTL019
collaboration, Dr. Litchman served as Novartis Vice President and
Head, Oncology Business Development Licensing. Earlier in his
career, Dr. Litchman was a senior equity analyst at Ursus Capital
and directed oncology/immunology clinical research at Hoffmann-La
Roche Inc. Dr. Litchman received his M.D. from Yale University
School of Medicine, and his B.A. from Princeton University. He
completed his internal medicine residency and hematology-oncology
fellowship at New York-Presbyterian Hospital/Weill Cornell
Medical Center.

No family relationships exist between Dr. Litchman and any of the
Companys directors or other executive officers. There are no
arrangements between Dr. Litchman and any other person to which
Dr. Litchman was selected as an officer, nor are there any
transactions to which the Company is or was a participant and in
which Dr. Litchman has a material interest subject to disclosure
under Item 404(a) of Regulation S-K.

On April 24, 2017, the Company issued a press release (the Press
Release) announcing Dr. Litchmans appointment, as described
above. to General Instruction F to the Securities and Exchange
Commissions Current Report on Form 8-K, a copy of the Press
Release is filed as Exhibit 99.1 to this Report, and the
information contained in the Press Release is incorporated into
Item 5.02(c) of this Report by this reference.

The terms of Dr. Litchmans employment are set forth in an
employment agreement with the Company and are further described
below.

On April 7, 2017, the Company entered into an employment
agreement with Manuel Litchman, the Companys newly appointed
Chief Executive Officer, made effective as of April 24, 2017,
(the Employment Agreement).

Under the Employment Agreement, the Company shall pay Dr.
Litchman a base salary at the annualized rate of Three Hundred
and Ninety Five Thousand Dollars ($395,000.00). He is also
eligible to receive an annual performance-based cash bonus with a
target of 50% of his base salary (Annual Bonus) at the sole
discretion of the Board or the compensation committee of the
Board, if established (the Compensation Committee). In addition,
Dr. Litchman is eligible to earn additional incentive bonuses as
defined in the Employment Agreement.

The Employment Agreement further grants Dr. Litchman an option to
purchase 1,041,675 shares of the Companys common stock, subject
to the vesting provisions contained therein (the Option). Subject
to certain conditions, the Option will have an exercise price per
share equal to the fair market value of a share the Companys
common stock on the date of the grant of the stock option (which
the Company believes, as of April 7, 2017, is $5.73 per share).

In the event that (i) the Company terminates his employment
without Cause (as defined in the Employment Agreement), (ii) he
resigns from his employment for Good Reason (as defined in the
Employment Agreement), or (iii) he is terminated as a result of
death or a disability, Dr. Litchman will be entitled to a lump
sum cash severance payment in an amount equal to 12 months of
base salary plus his pro-rata share of the Annual Bonus for the
year in which the termination occurred, with accelerated vesting
on all outstanding equity awards and continued health coverage
for 12 months under certain conditions.

The foregoing summary of the Employment Agreement is qualified in
its entirety by the copy of such agreement filed as Exhibit 10.1
hereto and incorporated by reference.

The following exhibit is furnished herewith:

About Mustang Bio, Inc. (NASDAQ:FBIO)

Fortress Biotech, Inc., formerly Coronado Biosciences, Inc., is a biopharmaceutical company. The Company is involved in the development of immunotherapy agents for the treatment of autoimmune diseases and cancer. Its sole product candidate is CNDO-109. The Company is also focused on acquiring, developing and commercializing pharmaceutical and biotechnology products. The Company’s product, CNDO-109, is a lysate (disrupted Closteroviridae (CTV)-1 cells, cell membrane fragments, cell proteins and other cellular components) that activates donor Natural Killer (NK) cells. CTV-1 is a leukemic cell line re-classified as a T-cell acute lymphocytic leukemia (ALL). The Company holds the license to develop and commercialize CNDO-109 to activate NK cells for the treatment of cancer-related and other conditions, and a non-exclusive license to certain clinical data solely for use in the Investigational new drug (IND) for CNDO-109. The Company is conducting the Phase I clinical studies of CNDO-109.

Mustang Bio, Inc. (NASDAQ:FBIO) Recent Trading Information

Mustang Bio, Inc. (NASDAQ:FBIO) closed its last trading session up +0.13 at 3.28 with 148,915 shares trading hands.