Company: MBIO
Filing Date: 2025-04-01
Form Type: 424B3
Source: 0001104659-25-030657
Chunk: 163

Company: MUSTANG BIO, INC.
Filing Date: 2025-04-01
Form: 424B3
Chunk 163
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 Dr. Litchman’s
target annual bonus is equal to fifty percent (50%) of his annual salary, and the Board or the Compensation Committee will determine the
actual payout amount each year. The employment agreement provides that if we terminate Dr. Litchman without cause or if he resigns for
good reason, as those terms are defined in the employment agreement, he will be entitled to: (i) severance payments at a rate equal to
his base salary then in effect for a period of 12 months following his termination date; (ii) a pro-rata share of the annual incentive
bonus for the year in which the termination occurred, to be paid when and if such bonus would have been paid under the employment agreement;
(iii) accelerated partial vesting of all unvested time-based equity awards with respect to the same number of shares that would have vested
if Dr. Litchman had continued in employment for one year following the termination date; and (iv) if Dr. Litchman timely elects continued
health insurance coverage under COBRA, the entire premium necessary to continue such coverage for Dr. Litchman and Dr. Litchman’s
eligible dependents until the conclusion of the time when Dr. Litchman is receiving continuation of base salary payments or until Dr.
Litchman becomes eligible for group health insurance coverage under another employer’s plan, whichever occurs first, provided however
that we have the right to terminate such payment of COBRA premiums on behalf of Dr. Litchman and instead pay him a lump sum amount equal
to the COBRA premium times the number of months remaining in the specified period if we determine in our discretion that continued payment
of COBRA premiums is or may be discriminatory under Section 105(h) of the Internal Revenue Code. In addition, if Dr. Litchman is terminated
without cause or resigns for good reason within twelve months following a change in control, he will be entitled to the severance benefits
described in (i), (ii) and (iv) of the immediately preceding sentence, as well as 100% accelerated vesting of the options and other equity
awards granted to him. In the event Dr. Litchman’s employment is terminated due to his death or disability,

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he or his estate will receive continuing salary
payments for ninety days and a pro-rata share of the annual incentive bonus for the year