Company: MBIO
Filing Date: 2025-04-01
Form Type: 424B3
Source: 0001104659-25-030657
Chunk: 188

Company: MUSTANG BIO, INC.
Filing Date: 2025-04-01
Form: 424B3
Chunk 188
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has no subsidiaries.

All inter-company transactions between Fortress
and Mustang are classified as due from or due to related party in the financial statements.

Segment Reporting

Operating segments are defined as components of
an enterprise about which separate discrete information is available for evaluation by the chief operating decision maker, or decision-making
group, in deciding how to allocate resources in assessing performance. The Company views its operations and manages its business in one segment,
which reflects the research and development of potential cures for difficult-to-treat cancers and autoimmune diseases. The Company’s
chief operating decision maker (“CODM”) is its chief executive officer.

The CODM assesses performance for the research
and development segment and decides how to allocate resources based on net loss, which is reported on the Statements of Operations. The
CODM uses net loss to evaluate costs to develop its pipeline. The accounting policies of the segment are the same as those described in
this Note 2. See Note 12 for segment information.

Use of Estimates

The preparation of financial statements in conformity
with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting
period. Actual results could differ from those estimates.

Cash and Cash Equivalents

The Company considers highly liquid investments
with a maturity of three months or less when purchased to be cash equivalents. Cash and cash equivalents at December 31, 2024
and 2023, consisted of cash and certificates of deposit in institutions in the United States. The Company maintains its cash and cash
equivalent balances with high-quality financial institutions and, consequently, the Company believes that such funds are currently adequately
protected against credit risk. At times, portions of the Company’s cash and cash equivalents may be uninsured or in deposit
accounts that exceed Federal Deposit Insurance Corporation (FDIC) limits, though the Company customarily invests a significant portion
of its cash in Insured Cash Sweep (“ICS”) accounts to maximize FDIC insurance coverage across its holdings. As of

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December 31, 2024, the Company had not
experienced losses on these accounts, and management believes the Company is not exposed to significant risk on such accounts.

Other Receivables – Related Party

Other receivables include amounts due to the Company
from Fortress and is recorded at the invoiced amount.

Restricted Cash