Fortress Biotech Reports Record Second Quarter 2021 Financial Results and Recent Corporate Highlights Net revenue for second quarter of 2021 increased 89% year-over-year to $17.8 million, a quarterly record Rolling NDA s

Fortress Biotech Reports Record Second Quarter

2021 Financial Results and Recent Corporate Highlights

Net revenue for second quarter of 2021 increased

89% year-over-year to $17.8 million, a quarterly record

Rolling NDA submission for CUTX-101 for the

treatment of Menkes disease expected to begin in the second half of 2021

On track to report top-line results from

registration-enabling study of cosibelimab in metastatic cutaneous squamous cell carcinoma by year-end 2021

New York, NY - August 16, 2021 -

Fortress Biotech, Inc. (NASDAQ: FBIO) ("Fortress"), an innovative biopharmaceutical company focused on acquiring, developing

and commercializing or monetizing promising biopharmaceutical products and product candidates cost-effectively, today announced financial

results and recent corporate highlights for the second quarter ended June 30, 2021.

Lindsay A. Rosenwald, M.D., Fortress' Chairman,

President and Chief Executive Officer, said, "We generated significant sales momentum in the second quarter, recording quarterly

record net revenues of $17.8 million, an 89% increase year-over-year. We also successfully acquired and recently launched QBREXZA

to further expand our portfolio of marketed products, as well as in-licensed Dotinurad, DFD-29, and a novel CAR T technology, which enhance

our robust pipeline of drug candidates. In addition, we presented compelling clinical data for CAEL-101 for the treatment of AL amyloidosis

and MB-106 for relapsed or refractory B-cell non-Hodgkin lymphomas ("B-NHL") and chronic lymphocytic leukemia ("CLL")

at the European Hematology Association 2021 Virtual Congress ("EHA2021"). Looking ahead, we anticipate several additional

regulatory and clinical catalysts throughout the remainder of 2021, including the availability of pivotal data from cosibelimab for the

treatment of metastatic cutaneous squamous cell carcinoma. We also expect to begin the rolling New Drug Application ("NDA")

submission for CUTX-101 for the treatment of Menkes disease in the second half of 2021."

Dr. Rosenwald continued, "We have an expanding

portfolio of seven marketed dermatology products and more than 25 product candidates across our partner companies, including 18 clinical

programs and 24 clinical trials, of which four are pivotal clinical trials, and up to four more could potentially be pivotal soon. Our

diversified business model is supported by a world-class business development team. Fortress and our partner companies are well-positioned

to achieve an array of milestones over the next year and into the future with the objective of providing new treatment options to patients

in need, while creating significant long-term value for our shareholders."

Recent Corporate Highlights1:

Marketed Dermatology Products and Product Candidates

Includes product candidates in development at Fortress, majority-owned and controlled partners and partners in which Fortress holds significant

minority ownership positions. As used herein, the words "we", "us" and "our" may refer to Fortress

individually or together with our affiliates and partners, as dictated by context.

CUTX-101 (Copper Histidinate for Menkes disease)

CAEL-101 (Light Chain Fibril-reactive Monoclonal

Antibody for AL Amyloidosis)

Cosibelimab (formerly CK-301, an anti-PD-L1

Olafertinib (formerly CK-101, a third-generation

epidermal growth factor receptor ("EGFR") inhibitor)

MB-106 (CD20-targeted CAR T Cell Therapy)

MB-107 and MB-207 (Lentiviral Gene Therapies

for X-linked Severe Combined Immunodeficiency ("XSCID"))

MB-101 (IL13R 2-targeted CAR T Cell Therapy)

Novel CAR T Technology

Dotinurad (Urate Transporter (URAT1) Inhibitor)

To assist our stockholders in understanding our

company, we have prepared non-GAAP financial results for the three months ended June 30, 2021 and 2020. These results exclude the operations

of our three public partner companies: Avenue, Checkpoint and Mustang Bio. The goal in providing these non-GAAP financial metrics is

to highlight the financial results of Fortress' core operations, which are comprised of our commercial-stage business, our privately

held development-stage entities, as well as our business development and finance functions.

Use of Non-GAAP Measures:

In addition to the GAAP financial measures as

presented in our Form 10-Q that will be filed with the Securities and Exchange Commission ("SEC") on August 16, 2021, the

Company has, in this press release, included certain non-GAAP measurements. The non-GAAP net income (loss) attributable to common stockholders

is defined by the Company as GAAP net income (loss) attributable to common stockholders, less net losses attributable to common stockholders

from our public partner companies Avenue, Checkpoint and Mustang Bio. In addition, the Company has also provided a Fortress non-GAAP loss

attributable to common stockholders which is a modified EBITDA calculation that starts with the non-GAAP income (loss) attributable to

common stockholders and removes stock-based compensation expense, non-cash interest expense, amortization of licenses and debt discount,

changes in fair values of investment, changes in fair value of derivative liability, Qbrexza inventory step-up and depreciation expense.

Management believes use of these non-GAAP measures

provide meaningful supplemental information regarding the Company's performance because (i) it allows for greater transparency with respect

to key measures used by management in its financial and operational decision-making, (ii) it excludes the impact of non-cash or, when

specified, non-recurring items that are not directly attributable to the Company's core operating performance and that may obscure trends

in the Company's core operating performance and (iii) it is used by institutional investors and the analyst community to help analyze

the Company's results. However, non-GAAP income (loss) attributable to common stockholders and any other non-GAAP financial measures should

be considered as a supplement to, and not as a substitute for, or superior to, the corresponding measures calculated in accordance with

GAAP. Further, non-GAAP financial measures used by the Company and the manner in which they are calculated may differ from the non-GAAP

financial measures or the calculations of the same non-GAAP financial measures used by other companies, including the Company's competitors.

The tables below provide a reconciliation from

GAAP to non-GAAP measures:

Reconciliation to non-GAAP research and development

and selling, general and administrative costs:

About Fortress Biotech

Fortress Biotech, Inc. ("Fortress")

is an innovative biopharmaceutical company that was ranked in Deloitte's 2019 and 2020 Technology Fast 500 , annual rankings

of the fastest-growing North American companies in the technology, media, telecommunications, life sciences and energy tech sectors,

based on percentages of fiscal year revenue growth over three-year periods. Fortress is focused on acquiring, developing and commercializing

high-potential marketed and development-stage drugs and drug candidates. The company has seven marketed prescription pharmaceutical products

and over 25 programs in development at Fortress, at its majority-owned and majority-controlled partners and at partners it founded and

in which it holds significant minority ownership positions. Such product candidates span six large-market areas, including oncology,

rare diseases and gene therapy, which allow it to create value for shareholders. Fortress advances its diversified pipeline through a

streamlined operating structure that fosters efficient drug development. The Fortress model is driven by a world-class business development

team that is focused on leveraging its significant biopharmaceutical industry expertise to further expand the company's portfolio

of product opportunities. Fortress has established partnerships with some of the world's leading academic research institutions

and biopharmaceutical companies to maximize each opportunity to its full potential, including Alexion Pharmaceuticals, Inc., AstraZeneca,

City of Hope, Fred Hutchinson Cancer Research Center, St. Jude Children's Research Hospital, Nationwide Children's Hospital

and Sentynl Therapeutics, Inc. 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,

as amended. As used below and throughout this press release, the words "we", "us" and "our" may refer

to Fortress individually or together with one or more partner companies, as dictated by context. 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 include: risks relating to our growth strategy; our ability to obtain, perform under

and maintain financing and strategic agreements and relationships; risks relating to the results of research and development activities;

uncertainties relating to preclinical and clinical testing; risks relating to the timing of starting and completing clinical trials; our