Company: MBIO
Filing Date: 2025-04-04
Form Type: POS AM
Source: 0001104659-25-032236
Chunk: 11

Company: MUSTANG BIO, INC.
Filing Date: 2025-04-04
Form: POS AM
Chunk 11
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 stock or redeemed (and
the purchase price is paid in full), pro rata per share dividends paid in additional fully paid and non-assessable shares of common stock
such that the aggregate number of shares of common stock issued pursuant to such PIK dividend is equal to 2.5% of the Corporation’s
fully-diluted outstanding capitalization on the date that is one business day prior to any PIK Dividend Payment Date (“PIK Record
Date”). In the event the Class A Preferred Stock converts into common stock, the holders shall receive all PIK dividends accrued
through the date of such conversion. No dividend or other distribution shall be paid, or declared and set apart for payment (other than
dividends payable solely in capital stock on the capital stock) on the shares of common stock until all PIK dividends on the Class A
Preferred Stock shall have been paid or declared and set apart for payment. All dividends are non-cumulative.

On any matter presented to the stockholders for
their action or consideration at any meeting of stockholders (or by written consent of stockholders in lieu of meeting), each holder of
outstanding shares of Class A Preferred Stock shall be entitled to cast for each share of Class A Preferred Stock held by such
holder as of the record date for determining stockholders entitled to vote on such matter, the number of votes that is equal to one and
one-tenth (1.1) times a fraction, the numerator of which is the sum of (A) the number of shares of outstanding common stock and (B) the
whole shares of common stock in to which the shares of outstanding Class A common stock and the Class A Preferred Stock are
convertible, and the denominator of which is number of shares of outstanding Class A Preferred Stock. Thus, the Class A Preferred
Stock will at all times constitute a voting majority.

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Each share of Class A Preferred Stock is
convertible, at the option of the holder, into one fully paid and nonassessable share of common stock, subject to certain adjustments
inclusive of the impacts of any stock splits. If we, at any time effects a subdivision or combination of our outstanding common stock
(by any stock split, stock dividend, recapitalization, reverse stock split or otherwise), the applicable conversion ratio in effect immediately
before that subdivision is proportionately decreased or increased, as applicable, so that the number of shares of common stock issuable
on conversion of each