Company: MBIO
Filing Date: 2025-04-01
Form Type: 424B3
Source: 0001104659-25-030657
Chunk: 209

Company: MUSTANG BIO, INC.
Filing Date: 2025-04-01
Form: 424B3
Chunk 209
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 Company’s long-term debt facility (the “Term Loan”) with Runway Growth Finance Corp. (“Runway”), originally
entered into on March 4, 2022, was terminated upon receipt by Runway of a payoff amount of $30.4 million from the Company comprised of
principal, interest and the applicable final payment amount. The loss on extinguishment of $2.8 million was recorded in interest expense
in the Statements of Operations. For the years December 31, 2024, and 2023, the Company recorded the following components in interest
expense:

| ​                             
 ​                             
 ($ in thousands)              | ​ 
 ​ 
 ​ | ​                               
 For the year ended December 31, 
 2024                            | ​ | ​ | ​    
 2023 |     ​ |
|:------------------------------|:--|:--------------------------------|--:|:--|:-----|------:|
| Interest expense              | ​ | $                               | — | ​ | $    | 1,187 |
| Amortization of debt discount | ​ | ​                               | — | ​ | ​    |   118 |
| Loss on extinguishment        | ​ | ​                               | — | ​ | ​    | 2,796 |
| Other                         | ​ | ​                               | 5 | ​ | ​    |     8 |
| Total interest expense        | ​ | $                               | 5 | ​ | $    | 4,109 |

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Note 10 - Stockholders’ Equity

Common Stock

The Company, in accordance with its certificate
of incorporation, as amended in November 2020 and June 2021, which was retroactively applied, and July 2022, is authorized to issue (i)
200,000,000 common shares with a par value of $0.0001 per share, of which 1,000,000 shares are designated as Class A Common Stock
and the remainder are undesignated Common Stock, and (ii) 2,000,000 shares of Preferred Stock, 250,000 of which are designated as Class
A Preferred Stock and the remainder are undesignated Preferred Stock (see below Stock Issuances to Fortress and Note 4).

In connection with the Company’s formation,
Fortress subscribed for 7,000,000 shares of the Class B Common Stock and 2,666 shares of the Company’s Common Stock, pursuant
to the Founders Agreement. Fortress paid the par value of $