Mustang Bio, Inc. (MBIO) Bundle
A Brief History of Mustang Bio, Inc.
Mustang Bio, Inc. was established in March 2015 and has focused on developing novel therapies for cancer and rare diseases. The company specializes in cell therapy, particularly in the development of CAR T cell therapies. As of September 30, 2024, Mustang Bio has not yet generated any revenue from its product candidates, which remain in the development phase.
Financial Performance
For the nine months ended September 30, 2024, Mustang Bio reported a net loss of $14.8 million, a significant decrease from the $42.986 million loss reported for the same period in 2023. This reflects a 66% reduction in net losses year-over-year.
| Financial Metric | 2024 (9 Months) | 2023 (9 Months) |
|---|---|---|
| Net Loss | $14.8 million | $42.986 million |
| Operating Expenses | $15.228 million | $40.519 million |
| Research and Development Expenses | $8.221 million | $34.363 million |
| General and Administrative Expenses | $4.358 million | $7.507 million |
Research and Development Focus
Mustang Bio's research and development efforts are primarily directed towards several key programs, including:
- MB-102
- MB-106
- MB-107/207
- MB-109
- MB-110
The total research and development expenses decreased by $26.142 million from 2023 to 2024, attributed to reduced personnel costs and the mutual termination of certain license agreements, which resulted in the forgiveness of outstanding payables.
| R&D Program | 2024 Expenses | 2023 Expenses |
|---|---|---|
| MB-102 | $(2,000) | $505,000 |
| MB-106 | $1.099 million | $3.026 million |
| MB-107/207 | $(562,000) | $(862,000) |
| MB-109 | $476,000 | $945,000 |
| MB-110 | $241,000 | $309,000 |
Capital and Funding
As of September 30, 2024, Mustang Bio had cash and cash equivalents of $3.5 million. The company has funded its operations primarily through equity sales. In 2024, Mustang Bio completed several equity offerings that generated approximately $5.3 million in net proceeds.
| Equity Offering | Date | Net Proceeds |
|---|---|---|
| May 2024 Offering | May 2, 2024 | $5.3 million |
| June 2024 Offering | June 21, 2024 | $1.2 million (ATM Agreement) |
Mustang Bio has faced significant challenges, including an 81% workforce reduction in April 2024 to manage costs and preserve capital amid ongoing uncertainty regarding funding and operational viability.
Future Outlook
The continuation of Mustang Bio's operations as a going concern depends on its ability to raise additional capital and achieve profitability in the future. The company anticipates continuing to incur significant operating losses as it develops its product candidates.
As of September 30, 2024, Mustang Bio reported an accumulated deficit of $395.8 million, indicating the financial challenges ahead as the company seeks to transition from development to commercialization of its therapies.
A Who Owns Mustang Bio, Inc. (MBIO)
Company Overview
Mustang Bio, Inc. is a clinical-stage biopharmaceutical company focused on developing innovative cell therapies. As of September 30, 2024, Mustang Bio is a majority-controlled subsidiary of Fortress Biotech, Inc.
Ownership Structure
As of September 30, 2024, the ownership structure of Mustang Bio, Inc. is as follows:
| Shareholder Type | Shares Owned | Percentage Ownership |
|---|---|---|
| Fortress Biotech, Inc. (Parent Company) | Approximately 20,000,000 | ~54.3% |
| Institutional Investors | Approximately 5,000,000 | ~13.6% |
| Retail Investors | Approximately 15,000,000 | ~32.1% |
Recent Shareholder Activity
In May and June of 2024, Mustang Bio engaged in equity offerings, raising approximately $5.3 million. These offerings involved the issuance of new common shares, which diluted existing shareholders but provided necessary funding for operations.
Recent Financial Performance
As of September 30, 2024, Mustang Bio reported an accumulated deficit of $395.8 million, reflecting ongoing operating losses. The company had cash and cash equivalents of $3.5 million.
Stockholder Equity
The total stockholders' equity for Mustang Bio, Inc. as of September 30, 2024, was reported at $(8.7 million), indicating the financial challenges the company faces.
Future Shareholder Considerations
Mustang Bio's ability to raise additional capital through equity offerings or partnerships will significantly impact its current ownership structure and share price. The management has indicated ongoing efforts to secure funding to support its operational needs.
Mustang Bio, Inc. (MBIO) Mission Statement
Mustang Bio, Inc. is a clinical-stage biopharmaceutical company focused on translating medical breakthroughs in cell therapy into potential treatments. The company aims to acquire rights to these technologies through licensing or ownership, funding their research and development, and eventually bringing these technologies to market or out-licensing them.
Financial Overview
As of September 30, 2024, Mustang Bio reported the following financial metrics:
| Financial Metric | Amount (in thousands) |
|---|---|
| Net Loss (9 months ended September 30, 2024) | $14,800 |
| Net Loss (9 months ended September 30, 2023) | $42,986 |
| Accumulated Deficit | $395,771 |
| Cash and Cash Equivalents | $3,500 |
| Total Stockholders' Equity | $(8,656) |
| Weighted Average Shares Outstanding (Basic and Diluted) | 36,827,671 |
Research and Development Focus
Mustang Bio's research and development expenses for the nine months ended September 30, 2024, were $8.2 million, significantly reduced from $34.4 million in the same period in 2023. This represents a decline of approximately 76% year-over-year, attributed to cost-saving measures and reduced headcount.
Clinical Trials and Designations
In 2024, the company received the Regenerative Medicine Advanced Therapy (RMAT) designation from the FDA for its treatment of relapsed or refractory CD20 positive Waldenström macroglobulinemia and follicular lymphoma. Additionally, in June 2024, updated data from a clinical trial indicated a 90% overall response rate in patients treated with MB-106.
Cash Flow Analysis
For the nine months ended September 30, 2024, Mustang Bio reported:
| Cash Flow Activity | Amount (in thousands) |
|---|---|
| Net Cash Used in Operating Activities | $(9,413) |
| Net Cash Provided by Financing Activities | $6,329 |
| Net Change in Cash | $(3,084) |
Stock Performance
As of the latest available data, Mustang Bio's stock performance has been characterized by volatility. The stock price as of September 30, 2024, reflected market conditions influenced by the company's ongoing clinical trials and financial health.
Future Outlook
Mustang Bio continues to focus on securing additional funding to support its operations and research initiatives. The company has indicated plans to utilize proceeds from recent equity offerings for working capital and general corporate purposes.
How Mustang Bio, Inc. (MBIO) Works
Company Overview
Mustang Bio, Inc. is a clinical-stage biopharmaceutical company focused on cell therapy innovations. The company operates primarily through the development and commercialization of novel therapies aimed at treating various forms of cancer and genetic disorders. As of September 30, 2024, Mustang operates as a majority-controlled subsidiary of Fortress Biotech, Inc.
Financial Performance
As of September 30, 2024, Mustang Bio reported significant financial metrics indicating its operational losses and financial health.
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Net Loss | $1.41 million | $10.06 million | 86% improvement |
| Research and Development Expenses | $57,000 | $9.53 million | 99% decrease |
| General and Administrative Expenses | $1.4 million | $2.13 million | 34% decrease |
| Total Operating Expenses | $1.46 million | $10.31 million | 86% decrease |
Operating Activities
Mustang Bio's cash flow from operating activities for the nine months ended September 30, 2024, was a net cash outflow of $9.41 million, compared to a significantly higher outflow of $42.22 million for the same period in 2023. The company's operational losses are primarily attributed to ongoing R&D expenses and administrative costs associated with its clinical trials and product development.
Liquidity Position
As of September 30, 2024, Mustang Bio had cash and cash equivalents of $3.53 million and restricted cash of $375,000. The total cash available was $3.90 million, a decrease from $10.31 million in the previous year. The company’s accumulated deficit stood at $395.77 million, reflecting its sustained operational losses over the years.
| Cash Position | September 30, 2024 | September 30, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $3.53 million | $9.56 million |
| Restricted Cash | $375,000 | $750,000 |
| Total Cash | $3.90 million | $10.31 million |
Research and Development Focus
Mustang Bio's R&D expenditures are critical to its operations, focusing on the development of its proprietary therapies. For the nine months ended September 30, 2024, R&D expenses totaled $8.22 million, a significant decrease from $34.36 million in the prior year. This reduction is primarily due to workforce reductions and decreased lab supply costs.
| R&D Expenses Breakdown | Q3 2024 | Q3 2023 |
|---|---|---|
| MB-106 | $1.10 million | $3.03 million |
| MB-109 | $476,000 | $945,000 |
| Other R&D Expenses | $6.65 million | $27.44 million |
Operational Changes
In April 2024, Mustang Bio implemented a significant workforce reduction of approximately 81% to cut costs and preserve capital. Additionally, the company terminated several license agreements with St. Jude and Leiden University Medical Centre, which included the forgiveness of outstanding amounts owed.
Capital Raising Activities
Mustang Bio has relied on equity financing to fund its operations. In 2024, the company raised approximately $5.3 million from equity offerings and at-the-market offerings. As of September 30, 2024, the company had approximately $36.3 million available under its new shelf registration statement filed in May 2024.
Conclusion
Mustang Bio's financial health as of 2024 shows improvement in reducing operational losses through significant cuts in R&D and administrative expenses. However, the company continues to face challenges regarding its liquidity and ongoing funding needs to support its development pipeline.
How Mustang Bio, Inc. (MBIO) Makes Money
Business Model
Mustang Bio, Inc. operates as a clinical-stage biopharmaceutical company. Its primary focus is on developing innovative cell therapies for cancer and other serious diseases through licensing agreements, research and development partnerships, and clinical trials.
Revenue Sources
Currently, Mustang Bio does not generate revenue from product sales, as it is still in the clinical development phase. Instead, it relies on funding through equity offerings, grants, and collaboration agreements.
Equity Financing
Mustang Bio has historically funded its operations through the sale of equity. In 2024, the company executed several equity offerings:
- On May 2, 2024, Mustang Bio completed an equity offering, raising approximately $5.3 million after deducting fees and expenses.
- On June 21, 2024, the company conducted another offering, contributing to its working capital.
Research and Development Expenses
For the nine months ended September 30, 2024, Mustang Bio reported research and development expenses of $8.2 million, a significant decrease from $34.4 million in the same period in 2023. This reduction is attributed to decreased personnel costs, laboratory supplies, and program-related expenses due to a reduction in workforce.
| Expense Category | 2024 (in thousands) | 2023 (in thousands) |
|---|---|---|
| Research and Development | $8,221 | $34,363 |
| General and Administrative | $4,358 | $7,507 |
| Asset Impairment | $2,649 | $0 |
| Total Operating Expenses | $15,228 | $40,519 |
Operating Losses
Mustang Bio reported a net loss of $14.8 million for the nine months ended September 30, 2024, compared to a net loss of $42.9 million in the same period of 2023. The reduction in losses is a result of lower operating expenses and operational adjustments made throughout the year.
Cash Position
As of September 30, 2024, Mustang Bio had cash and cash equivalents of $3.5 million, which reflects a decrease from $6.2 million at the end of 2023. The company anticipates that its available cash will be sufficient to fund operations through the first half of 2025.
Future Financing Needs
Given the company's ongoing operational losses and the potential need for additional capital, Mustang Bio is expected to continue pursuing equity financing and strategic partnerships to support its research and development initiatives.
Market Position and Collaborations
Mustang Bio's strategy includes forming collaborations with other biotech firms and research institutions to enhance its product pipeline and access additional funding sources. The company is a majority-controlled subsidiary of Fortress Biotech, which provides a financial and strategic backing.
Conclusion on Financial Health
Mustang Bio remains in a precarious financial position, heavily reliant on external funding sources to sustain its operations and research activities. The company's ability to secure funding will be critical for its long-term viability and success in bringing its therapies to market.
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Resources:
- Mustang Bio, Inc. (MBIO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Mustang Bio, Inc. (MBIO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Mustang Bio, Inc. (MBIO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.