FBIO · Fortress Biotech, Inc.

The closing of Cyprium Therapeutics' sale of its Rare Pediatric Disease Priority Review Voucher for $205 million gross proceeds represents a significant liquidity event for Fortress Biotech, its majority owner with an 80.4% stake in Cyprium's common stock on an as-converted basis. This transaction stems from the FDA approval of ZYCUBO® (copper histidinate) on January 12, 2026, for Menkes disease, which triggered issuance of the PRV. Pursuant to the PRV APA, Cyprium redeemed all outstanding shares of its 9.375% Perpetual Preferred Stock, simplifying its capital structure. Fortress anticipates receiving at least $100 million through pro rata dividends, intercompany debt repayment, interest, and accrued expenses, though subject to deductions including 20% to the Eunice Kennedy Shriver National Institute of Child Health and Human Development, taxes, and other obligations. Cyprium retains eligibility for tiered royalties on ZYCUBO® net sales and up to $128 million in milestones from Sentynl Therapeutics, which assumed development responsibility in December 2023. Management views this as transformational, enhancing financial flexibility for business development and pipeline advancement amid recent FDA approvals for other portfolio products.