Full Press Release Details
FORTRESS BIOTECH REPORTS FINANCIAL RESULTS
FOR THE FIRST QUARTER 2015 ENDED
New York, NY - May 11, 2015 - Fortress Biotech,
Inc. (NASDAQ: FBIO) announces its financial results for the first quarter of 2015 ended March 31, 2015.
"This was a very busy and productive quarter as we continue
to make progress with executing our business plan to develop a diversified biopharmaceutical company with a robust pipeline of
products and multiple revenue streams. During the first quarter and the subsequent few weeks, we secured six key licensing agreements
and formed three new subsidiaries, which we refer to as "Fortress Companies," said Dr. Lindsay A. Rosenwald, Fortress
Biotech's Chairman, President and CEO. "Going forward, we intend to develop and commercialize products that we acquire
either directly, within Fortress, or indirectly through our Fortress Companies. We intend to leverage our biopharmaceutical business
expertise and drug development capabilities to help these companies achieve their goals. We will also continue to seek licensing,
partnerships, joint ventures and outside financings to support our research and development programs in 2015 and beyond. Our recent
name change and rebranding to Fortress Biotech, Inc., we believe, better aligns with our new strategy, recent accomplishments and
Financial Highlights:
Recent Corporate Events:
About Fortress Biotech
Fortress Biotech, Inc. ("Fortress" or "the
Company") is a biopharmaceutical company dedicated to acquiring, developing and commercializing novel pharmaceutical and
biotechnology products. Fortress plans to develop and commercialize products that it acquires both directly as well as indirectly
by establishing subsidiary companies, also known as Fortress Companies. The Company intends to leverage its biopharmaceutical
business expertise and drug development capabilities to help the Fortress Companies achieve their goals. Additionally, the Company
intends to provide funding and management services to each of the Fortress Companies and from time to time the Company and the
Fortress Companies will seek licensing, partnerships, joint ventures, and/or public and private financings to accelerate and provide
additional funding to support their research and development programs. For more information, visit www.fortressbiotech.com.
Forward-Looking Statements
This press release may contain "forward-looking
statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934. Such statements include, but are not limited to, any statements relating to our growth strategy and product development
programs and any other statements that are not historical facts. Forward-looking statements are based on management's current
expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial
condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated are: risks
related to our growth strategy; risks relating to the results of research and development activities; our ability to obtain, perform
under and maintain financing and strategic agreements and relationships; uncertainties relating to preclinical and clinical testing;
our dependence on third-party suppliers; our ability to attract, integrate, and retain key personnel; the early stage of products
under development; our need for substantial additional funds; government regulation; patent and intellectual property matters;
competition; as well as other risks described in our SEC filings. We expressly disclaim any obligation or undertaking to release
publicly any updates or revisions to any forward looking statements contained herein to reflect any change in our expectations
or any changes in events, conditions or circumstances on which any such statement is based, except as required by law.
Lucy Lu, MD, Executive Vice President & Chief Financial
Fortress Biotech, Inc.
781-652-4525; ir@fortressbiotech.com
FORTRESS BIOTECH, INC. AND SUBSIDIARIES
Consolidated Balance Sheets
($ in thousands except for share amounts)
| March 31, | December 31, | |||||||
| 2015 | 2014 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 48,928 | $ | 49,759 | ||||
| Marketable securities, at fair value | 20,005 | 20,002 | ||||||
| Prepaid expenses and other current assets | 680 | 702 | ||||||
| Total current assets | 69,613 | 70,463 | ||||||
| Property and equipment, net | 46 | 52 | ||||||
| Restricted cash | 14,586 | 14,586 | ||||||
| Long-term investments, at fair value | 3,945 | 4,160 | ||||||
| Intangible asset - license | 1,250 | - | ||||||
| Other assets | 1,011 | 70 | ||||||
| Total assets | $ | 90,451 | $ | 89,331 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 664 | $ | 366 | ||||
| Interest payable | 26 | 28 | ||||||
| Accrued expenses | 5,238 | 3,683 | ||||||
| Total current liabilities | 5,928 | 4,077 | ||||||
| Note payable, long-term | 24,009 | 14,009 | ||||||
| Other long-term liabilities | 327 | 722 | ||||||
| Total liabilities | 30,264 | 18,808 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity | ||||||||
| Convertible Preferred stock, $.001 par value, 129,767 Series C shares authorized, 0 shares issued and outstanding as of March 31, 2015 and December 31, 2014, respectively | - | - | ||||||
| Common Stock, $.001 par value, 100,000,000 shares authorized, 46,819,034 and 46,494,034 shares issued and outstanding as of March 31, 2015 and December 31, 2014, respectively | 47 | 46 | ||||||
| Additional paid-in-capital | 213,890 | 212,205 | ||||||
| Accumulated deficit | (153,784 | ) | (141,728 | ) | ||||
| Shareholders' equity attributed to Fortress Biotech, Inc. | 60,153 | 70,523 | ||||||
| Non-controlling interest | 34 | - | ||||||
| Total stockholders' equity | 60,187 | 70,523 | ||||||
| Total liabilities and stockholders' equity | $ | 90,451 | $ | 89,331 |
FORTRESS BIOTECH, INC. AND SUBSIDIARIES
Consolidated Statements of Operations
($ in thousands except for share amounts)
| For the three months ended March 31, | ||||||||
| 2015 | 2014 | |||||||
| Revenue | $ | 500 | $ | - | ||||
| Operating expenses | ||||||||
| Research and development | 1,642 | 4,487 | ||||||
| Research and development - licenses acquired | 7,439 | - | ||||||
| General and administrative | 3,490 | 2,095 | ||||||
| Total operating expenses | 12,571 | 6,582 | ||||||
| Loss from operations | (12,071 | ) | (6,582 | ) | ||||
| Other income (expenses) | ||||||||
| Interest income | 82 | 178 | ||||||
| Interest expenses | (331 | ) | (966 | ) | ||||
| Change in fair value of investments | (215 | ) | - | |||||
| Total other income (expenses) | (464 | ) | (788 | ) | ||||
| Net loss income | (12,535 | ) | (7,370 | ) | ||||
| Less: net loss attributable to non-controlling interest | (479 | ) | - | |||||
| Net loss attributable to Fortress Biotech, Inc. | $ | (12,056 | ) | $ | (7,370 | ) | ||
| Basic and diluted net loss per share attributable to Fortress Biotech, Inc. common stockholders | $ | (0.31 | ) | $ | (0.21 | ) | ||
| Weighted average common shares outstanding-basic and diluted | 38,574,702 | 35,900,596 |