u/Weekly-Barracuda-494

No idea why this is up this far, except that the stock was down to 600k+ shares total after 3 reverse stock splits in 2026, a google AI search says its between 120k and 180k shares total? The cash runway is small, the expenses are high, and the products have potential, but its a race to see if they can get sales up and running after waiting for an approval to keep from another major dilution? Injectible oxygen and glucose sensors that stay in place for days/months? Good potential.

I own some of this company, due your own due diligence before investing in it.

No idea, except that the stock is down to 600k+ shares total after 3 reverse stock splits in 2026. The cash runway is small, the expenses are high, and the products have potential, but its a race to see if they can get sales up and running after an approval to keep from another major dilution? Injectible oxygen and glucose sensors that stay in place for days/months? Good potential.

I own some of this company, due your own due diligence before investing in it.

I currently hold shares of FBIO and FBIOP, do your own due diligence before investing.

Terms included in the FBIO preferred stock, FBIOP, state that after 6 quarters of unpaid dividends, the FBIOP stockholders can nominate and vote for two board members to add to FBIO's board. It has currently been over 8 quarters of no dividend payout. People that hold only FBIO would not be allowed to vote on this.

With the cash on hand, and no stated goal for reinstating dividends, the FBIOP holders can ask for a special election to put two new board members on the board, as far as I can understand from a Google AI search. This would put two members on the board that might have different goals than the board currently has. Two ways for Fortress to avoid this situation if it was to arise:

1. Buy out all the shares of FBIOP(I think about 3.4 million?) for full price($25 each)+ accumulated dividends(currently just above $5 a share.) Probable cost of $100 million approximately, 3.4 million shares at $30 a share. This could happen, but it takes away a nice cash cushion the parent company can use to help bridge shortfalls by lending to companies under their umbrella.

2. Cure the arrears, pay off all the dividends accumulated to date on shares of FBIOP. Currently costs about $16 to $18 million now plus about $8 million a year going forward. I think if DERM was hitting its stride and profitable, this would have already happened. Right now waiting on royalties on Zycubo and Unloxcyt to kick in, if those streams come online at a decent size, the dividends could be paid mostly out of that cash flow.

Both ways allow the company to keep the board at its current size, with the second providing a larger cash cushion to keep flexibility.

3rd way, allow the election to happen, the CEO, Lindsay Rosenwald holds about 110 - 120,000 shares of FBIOP(from another google AI search, so may not be completely accurate), roll the dice on getting board members they want in place if this happens?

I really do think they will end up paying out dividends by year's end to allow flexibility in capital raises by other entities under their umbrella(DERM, ATXI, MBIO, etc.), but if they don't do something by year end, looks like there is an option to get some representation if not paid up to date on dividends accrued in arrears.

I am in investor in this stock, do your own due diligence.

Scholar Rock's apitegromab approval went through a manufacturing issue at Novo Nordisk's Catalent plant in Indiana, the FDA issued a CRL on their phase 3 study and application. Scholar Rock worked on getting that fixed along with qualifying a second manufacturing location as back-up. Other than the manufacturing issue, the FDA had no other issues with the drug application that I could see.

The FDA has a targeted date by end of September of this year to answer Scholar Rock's resubmission. If the manufacturing issue at Catalent is taken care of, or the second location passes the FDA inspection, Scholar Rock will be working on a sales roll out plan for this drug by the end of September. Why is this important? Apitegromab reduces muscle loss. A quick Google search gave this answer for "how does apitegromab work" :

Apitegromab is a fully human monoclonal antibody that acts as a selective inhibitor of myostatin activation by binding to promyostatin and latent myostatin. By blocking the conversion of inactive myostatin into its active form, it stops myostatin from signaling muscle cells to restrict growth, thereby promoting skeletal muscle mass and strength.

Currently the drug is going through the final approval process for therapy for Spinal Muscular Atrophy (SMA), and will be prescribed initially for this indication, although many are hoping for an add on study for lean mass preservation while taking a GLP1 or other weight loss drug. Scholar Rock did a GLP1 weight loss study of apitegromab along side tirzepatide, the drug in Mounjaro and Zepbound. Phase 2 results(EMBRAZE study published June 2025) of this study showed 85% fat loss and 15% lean tissue/muscle loss with apitegromag and tirzepatide, vs. 70% fat loss and 30% muscle loss on tirzepatide alone.

Why is this important? GLP1s and other weight loss drugs help lose weight, but lean tissue(muscle) is also lost. This can be a problem for people over 65, that have trouble keeping muscle. Used in combination with a GLP1 or not, this drug has the potential to be used in conjuntion with any weight loss regimen that reduces lean tissue mass(muscle loss). With Medicare covering tirzepatide for seniors, this is a potentially huge market in my opinion.

Prescribing with GLP1s would be off label at this time, but I would expect a full phase 3 study of this with a GLP1 concurrently to expand the treatment to this indication as well. Lilly potential partnership? Novo? Novo already owns the Catalent plant in Indiana where this is being manufactured, would be a pretty seamless integration for Novo.

Scholar Rock says they are ready to begin marketing and providing this treatment as soon as approval hits, hopefully their roll out execution goes well. Is this company a stand alone company, or will one of the big pharmas make a play for it? Either way, there seems to be a lot of potential here, and while the price reflects commercialization for SMA with a little room to run on current valuation, if used for GLP1 market, the valuation has a lot of room to grow.

I am a stockholder in both FBIO and FBIOP, do your own due diligence before investing in this company.

After seeing all kinds of weird posts claiming FBIO would never pay out the preferred dividend, I asked an AI question, can Fortress avoid paying preferred stock dividends by selling the company, this was the answer given:

No, Fortress Biotech (FBIO) cannot complete a corporate sale or final liquidation distribution without accounting for or satisfying the financial claims of its Series A Preferred Stock (FBIOP).

How FBIOP's Claims Work in a Sale or Liquidation

Because the 9.375% Series A Preferred Stock is cumulative, any paused or unpaid dividend payments do not disappear; they continuously accrue, called dividends in arrears (accumulated debt owed to preferred holders)

If FBIOP prefers to cash out the preferred shares, the preferred stock carries a fixed liquidation preference**.**  All accumulated and unpaid dividends, + $25 a share.

In the event of a merger, acquisition, or sale/liquidation of the company, corporate law and company charter terms dictate a strict payment hierarchy. Preferred shareholders must receive their full liquidation preference (par value + back dividends). Then and only then, can a single penny of remaining proceeds can be distributed to common stock (FBIO) shareholders.

Under Fortress Biotech's preferred stock terms, a change of control gives the company the option to redeem the shares, but that redemption price also explicitly requires paying the $25.00 per share plus any accumulated and unpaid dividends.

I own shares in this company, and shares of its preferred stock as well. Do your own due diligence.

Initial disclaimer, do your own due diligence on any statements made in this post. I am an investor in this company.

Fortress Biotech is basically a holding company, and leverages their capital to develop drugs for sale directly or licensing for royalty payments.

They own a big chunk of Journey Medical, ticker DERM, that sells dermatology products, with an oral doxycycline approved. Journey is generating revenue and projected to reach profitability this year.

They own approximately 75% of Cyprium Therapeutics. Cyprium sold development rights to a drug now called Zycubo. From Cyprium's website:

• In December 2023, Sentynl Therapeutics, Inc. (“Sentynl”) assumed full responsibility for the development and commercialization of ZYCUBO® (copper histidinate, formerly known as CUTX- 101) from Cyprium. A PRV was issued upon approval of ZYCUBO® by the U.S. Food and Drug Administration (“FDA”) on January 12, 2026. Pursuant to the transaction with Sentynl, the PRV was immediately transferred to Cyprium and has now been sold by Cyprium.

Cyprium remains eligible to receive tiered royalties on net sales of ZYCUBO® and up to approximately $128 million in aggregate sales milestones from Sentynl.

ZYCUBO has received Breakthrough Therapy, Fast Track, Rare Pediatric Disease, and Orphan Drug Designation from the FDA. Copper histidinate has also been granted Orphan Designation by the European Medicines Agency.*

They own Urica, which licensed dotinurad, a drug for gout from a Japanese company, and resold those rights to Crystalys, a company that looks like it was formed specifically to develop dotinurad and get it approved in the US market. Intial trials are promising, and before the last dilution round($130 million to further fund phase 3 and maybe some commercialization), FBIO(fortress Biotech) owned about 15% of Crystalys. Additionally they are entitled to receive 3% royalties on sales of dotinurad once approved. Dotinurad has been approved in Japan and China and is gaining market share in those markets for treating gout.

FBIO also owns Mustang Bio, working on CAR tcell therapies and other genetic therapies. Nothing commercial or past early FDA trials, but some intial promise in glioblastoma. Fortress Biotech, Inc. (FBIO) beneficially owns approximately 8% of Mustang Bio's (MBIO) common stock, while maintaining majority voting control of the company through its ownership of all outstanding Class A Preferred Stock

Avenue therapeutics just sold off an asset that could yield royalties, Avenue Therapeutics was originally founded by Fortress Biotech to develop and commercialize treatments for central nervous system and neurologic disease, and sold a drug for potentially treating epilepsy to Axsome Therapeutics for milestone payments up to $79 million and single digit royalties by selling Baergic Bio to Axsome. FBIO owns about 13.4% of Avenue, including all preferred A voting shares. Avenue recently purchased a new asset for development, on February 23, 2026, Avenue Therapeutics acquired the exclusive worldwide rights to ATX-04 (clenbuterol) from Duke University to treat Pompe disease.

Fortress also owns previous subsidiary Checkpoint Therapeutics royalty stream from sales of Unloxcyt, developed by their company Checkpoint Therapeutics which was sold to Sun Pharmaceuticals for up to $416 million($355 million paid, $61 million more paid to the stockholders at time of sale if Unloxcyt approved in Europe for sale in a timeframe specified in the agreement) and 2.5% royalties on future unloxcyt sales, estimated at $6 to $12 million a year if sales grow to projected levels.

Caelum Bio was sold to Astra Zeneca in 2021, and has a potential royalty stream on Cael 101, but the phase 3 trial had mixed results, one showing no benefit over current therapies for the condition, but one subgroup showing potential benefits. Astra Zeneca is working with FDA on trial designs to test the benefit to that subgroup. Potential future royalties here, but murky about whether they will come to fruition.

Fortress has a couple of other subsidiary companies, Helocyte and Cellvation that are mostly investigational at this point, Helocyte working on a CMV triplex vaccine and Cellvation working on cell therapies and treatments for TBI(traumatic brain injury)

What does all this mean? I think the Emrosi sales, potential milestone and royalty payments to be made on dotinurad, Unloxcyt, Zycubo, and other clinical assets make this company a bargain. A market cap of $110 million, with projected sales from Journey Medical alone close to $86 million in sales. Fortress has been careful about taking on debt and paying it off as they go in the past, so the debt to equity is sitting at 20 - 25% on this time depending on the source you use. They do have around $200 million in cash, they also have a preferred stock, FBIOP, that pays monthly dividends that were suspended in June of 2024, and those have accumulated to around $20 million owed in dividends to preferred shareholders(accumulating at just under $.20 a share a month that must be paid to preferred shareholders of FBIOP) Not sure if that is counted in debt.

Do your own due diligence as always, but I think this stock is a potential multi bagger. The next year should be an interesting watch.