Fortress Biotech, Inc. (FBIO): Business Model Canvas [Dec-2025 Updated]

You're looking at a complex beast in the biotech space with Fortress Biotech, Inc. (FBIO), and honestly, it's a model I haven't seen many others pull off this cleanly. They aren't just chasing moonshots; they are funding high-risk pipeline assets while simultaneously banking $17.0 million in net product sales from their dermatology portfolio in Q3 2025. This dual engine-stable revenue supporting speculative development and strategic monetization-is the key to their survival and potential upside, especially with that $86.2 million cash pile on hand. To truly understand where the next big valuation jump comes from, you need to see how they structure these asset sales and royalty deals, so let's break down the nine blocks of their unique business machine below.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Key Partnerships

You're looking at how Fortress Biotech, Inc. (FBIO) structures its value capture, and the key partnerships are central to that. The model relies heavily on advancing assets through subsidiaries and partners, aiming for strategic monetization events rather than carrying all development risk internally. Here's the breakdown of the most significant relationships as of late 2025.

The monetization strategy is clearly visible in the recent strategic exits. Fortress Biotech, Inc. successfully executed the sale of its subsidiary Checkpoint Therapeutics to Sun Pharmaceutical Industries, Inc. (Sun Pharma) in May 2025. This deal validates the model, delivering immediate cash flow and future upside.

Another key exit involved Baergic Bio, Inc., which was acquired by Axsome Therapeutics (Axsome) in November 2025. These transactions provide non-dilutive capital and ongoing passive income streams, which is the core of the Fortress Biotech, Inc. structure.

The financial terms for these two major strategic exits, along with the key royalty agreement for dotinurad, look like this:

The development of dotinurad through Crystalys Therapeutics is a prime example of leveraging external financing. Crystalys Therapeutics closed a substantial $205 million Series A financing round to push dotinurad through global Phase 3 trials (RUBY and TOPAZ). Fortress Biotech, Inc.'s subsidiary, Urica Therapeutics, maintains a minority equity position in Crystalys following the 2024 sale of the asset.

For the CUTX-101 asset, which was transferred to Sentynl Therapeutics (a Zydus Lifesciences subsidiary) in December 2023, the key focus in late 2025 was the Prescription Drug User Fee Act (PDUFA) goal date of September 30, 2025. Although the FDA issued a Complete Response Letter (CRL) on October 1, 2025, due to Current Good Manufacturing Practice deficiencies at a manufacturing site, the CRL cited no issues with the drug's efficacy or safety data. Cyprium Therapeutics, the Fortress subsidiary that developed CUTX-101, retains 100% ownership of any potential FDA Priority Review Voucher upon approval.

Fortress Biotech, Inc. also maintains foundational relationships with leading academic research institutions to source and advance its pipeline. These include:

• City of Hope
• Nationwide Children's Hospital

These academic partnerships are crucial for identifying novel compounds, though specific financial terms like grant amounts aren't typically detailed in the same way as commercial transaction figures.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Key Activities

You're looking at how Fortress Biotech, Inc. actually makes its money and advances its pipeline; it's a cycle of buy, build, and sell, with a steady base of product sales supporting the riskier development work. The Key Activities are centered around this disciplined, multi-pronged approach.

Acquiring and in-licensing promising drug candidates

Fortress Biotech, Inc. focuses on bringing in assets that have high potential, often through its subsidiaries or partnerships. This activity is the starting point for their value creation thesis. Honestly, you can't build a portfolio without new things to build upon.

The company maintains a broad pipeline, which as of late 2025, includes over 20 candidates spanning pre-clinical and clinical development stages. These span oncology, gene therapy, and rare diseases. This scale is key to mitigating the risk inherent in drug development.

Funding and managing clinical development via subsidiaries

Once an asset is acquired or in-licensed, the next core activity is funding and managing its progression through clinical trials, often using dedicated subsidiaries. This keeps the main corporate overhead focused while allowing specialized teams to run the programs. Here's the quick math: external financing for these subsidiaries is a major win.

For instance, the subsidiary Urica Therapeutics' asset, dotinurad, is being advanced through global Phase 3 clinical studies by Crystalys Therapeutics, which closed a substantial Series A financing round. That financing totaled $205 million in October 2025 to support these studies.

Another key asset, CUTX-101 for Menkes disease, reached a critical regulatory milestone with the FDA accepting the New Drug Application under priority review, setting a PDUFA goal date of September 30, 2025. While the resubmission timing was later adjusted, hitting that initial goal date was a major operational focus.

The management of these development programs and their associated capital structure is a primary activity, as demonstrated by the various financing and regulatory milestones achieved across the portfolio.

Commercializing 8 marketed dermatology products

This is the revenue engine that helps fund the riskier development work. Fortress Biotech, Inc. actively commercializes a portfolio of marketed dermatology products, which the company reports as 8 products. These sales provide immediate, tangible cash flow.

Looking at the third quarter of 2025, Fortress's consolidated net revenue hit $17.6 million. Of that total, $17.0 million, or about 96.6%, came directly from these marketed dermatology products.

The newest addition, Emrosi™, is showing strong commercial traction. Its net product revenues for the second quarter of 2025 were $15.0 million. By the third quarter of 2025, its total prescriptions (TRx) had grown approximately 146% quarter-over-quarter, with over 2,700 unique prescribers. Management has projected that Emrosi™ could eventually achieve peak annual net sales exceeding $200 million in the United States.

The legacy products, including Qbrexza, Accutane, Amzeeq, and Zilxi, were essentially flat sequentially compared to the second quarter of 2025, though they faced year-over-year revenue decline due to generic competition impacting Accutane.

Executing strategic exits and asset monetization (build-develop-exit)

This activity is the ultimate validation of the Fortress Biotech, Inc. model: building value in an asset and then executing a strategic exit to realize cash and retain upside. You defintely want to see these transactions close.

A major 2025 exit was the acquisition of the subsidiary Checkpoint Therapeutics by Sun Pharmaceutical Industries in May 2025. Fortress received approximately $28 million upfront from this sale. Furthermore, Fortress retains upside via a contingent value right (CVR) of up to an additional $4.8 million and a 2.5% royalty on future net sales of UNLOXCYT™ (cosibelimab-ipdl).

Another exit saw Avenue reach a deal to sell Baergic Bio to Axsome Therapeutics in 2025. These transactions directly feed the balance sheet, which stood at $86.2 million in consolidated cash and cash equivalents as of September 30, 2025, up from $57.3 million at the end of 2024.

The Key Activities and their financial outcomes can be summarized below:

Finance: draft 13-week cash view by Friday.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Key Resources

You're looking at the core assets Fortress Biotech, Inc. (FBIO) relies on to drive value creation, which is a mix of cash on hand, revenue-generating products, and high-potential development-stage equity holdings. Honestly, this resource base is what allows the company to keep executing its build-develop-exit strategy.

The financial foundation is solid as of the third quarter of 2025. As of September 30, 2025, Fortress Biotech, Inc.'s consolidated cash and cash equivalents totaled $86.2 million. This cash position reflects a significant increase from the $57.3 million held at the end of 2024.

Here's the quick math on where that cash sat at the end of Q3 2025:

The intellectual property and product portfolio are central to the Key Resources. Fortress Biotech, Inc. maintains a diversified portfolio that includes a mix of commercialized assets and early-stage candidates. This diversification helps manage the inherent risk in drug development.

The current asset base includes:

• - Diversified portfolio of 8 marketed products and 20+ pipeline candidates
• - Potential Priority Review Voucher (PRV) asset with an estimated value between $100-120 million

The pipeline itself is a major resource, featuring over 20 candidates in various stages of pre-clinical and clinical development across therapeutic areas like oncology, rare diseases, and gene therapy. For example, the dotinurad asset, held via equity in Crystalys Therapeutics, recently saw that partner complete a $205 million Series A financing, underscoring external confidence in that specific program.

Also critical are the significant equity stakes in subsidiary and partner companies, which act as future monetization levers. Fortress Biotech, Inc. benefits directly from the commercial success of these ventures. For instance, the Q3 2025 net product revenue was $17.6 million, with $17.0 million coming from Journey Medical's Emrosi™. Emrosi™ has expanded its U.S. commercial payer access to over 100 million lives as of July 2025. Furthermore, Fortress is entitled to a 2.5% royalty on net sales of UNLOXCYT (cosibelimab) from the Checkpoint Therapeutics transaction.

The structure of these equity and royalty rights provides non-dilutive upside potential. The upfront cash received from the Checkpoint acquisition was approximately $28 million, with an additional contingent value right (CVR) payment of up to $4.8 million still possible.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Value Propositions

You're looking at Fortress Biotech, Inc. (FBIO) not just as a single drug developer, but as an asset aggregator, and that's where its core value proposition lies. The model is built on spreading bets across different therapeutic areas, which helps mitigate the binary risk that sinks many pure-play biotechs.

Diversified risk across oncology, rare diseases, and dermatology

Fortress Biotech, Inc. maintains a diversified product pipeline, which, as of late 2025, includes over 20 candidates spanning pre-clinical to commercial stages. This diversification is a deliberate strategy to manage the inherent attrition risk in drug development. The focus areas are broad, covering oncology, rare diseases, and dermatology. This spread is reflected in the revenue mix; for instance, in the third quarter of 2025, consolidated net revenue was $17.6 million, with $17.0 million of that total generated specifically from the marketed dermatology products. This balance between established revenue and high-potential clinical assets is a key proposition.

The company's portfolio is structured through majority-owned subsidiaries, allowing for focused management of individual programs. The total addressable markets for these areas are substantial, with oncology and rare diseases segments alone representing markets worth over $300 billion and $200 billion, respectively, as estimated in mid-2025. This structure helps Fortress Biotech, Inc. manage capital allocation across these distinct therapeutic bets.

Access to commercialized, revenue-generating dermatology products

A significant value proposition is the immediate access to revenue streams from commercialized products, primarily managed through its subsidiary, Journey Medical Corporation. This provides a crucial financial cushion. For the second quarter ended June 30, 2025, Journey Medical's net product revenues hit $15.0 million. The flagship commercial product, Emrosi™, launched for inflammatory lesions of rosacea, has seen strong execution, achieving payer coverage for 65% of U.S. commercial lives by June 2025. The company has high expectations for this asset, believing Emrosi™ can achieve peak annual net sales exceeding $200 million in the United States alone.

This revenue stream supports ongoing operations and development elsewhere in the portfolio. For example, in Q3 2025, the company achieved positive adjusted EBITDA of $1.7 million, a clear indicator of the commercial segment's contribution to near-term financial health.

Shareholder value creation via strategic exits and royalty streams

Fortress Biotech, Inc.'s business model explicitly includes a strategy of building assets to a point where they can be monetized through strategic exits, which directly benefits shareholders. A prime example is the May 2025 acquisition of the subsidiary Checkpoint Therapeutics by Sun Pharmaceutical Industries, Inc. For this exit, Fortress Biotech, Inc. received approximately $28 million upfront. Furthermore, the company retains a 2.5% royalty on future net sales of the acquired drug, UNLOXCYT™ (cosibelimab-ipdl), plus eligibility for up to an additional $4.8 million under a contingent value right (CVR). Another subsidiary, Baergic Bio, was also acquired by Axsome Therapeutics this year, further validating this exit strategy.

Another potential value unlock is the Priority Review Voucher (PRV) associated with the Menkes disease candidate, CUTX-101. Upon approval, this tradable asset could be worth an estimated $100-120 million, representing a non-dilutive, immediate financial boost.

Here's a quick look at the key financial and pipeline metrics underpinning these value propositions as of late 2025:

Focused development of under-resourced clinical-stage assets

Fortress Biotech, Inc. aims to advance assets that are under-resourced at their partner companies, bringing them to critical inflection points. This is evident in the late-stage pipeline focus. For example, the development of CUTX-101 for Menkes disease, which has no approved therapies, reached a key milestone with the FDA accepting the New Drug Application (NDA) for priority review, setting a PDUFA goal date of September 30, 2025. This focused push on a rare disease asset with high unmet need is central to the value creation thesis.

Another example is the CAEL-101 program for AL amyloidosis, where Fortress Biotech, Inc. is eligible for 42% of up to $500 million in milestones from AstraZeneca following the initial acquisition of Caelum Biosciences. The company's R&D expenses for Q3 2025 were notably low at $0.2 million compared to $9.4 million in Q3 2024, suggesting that much of the heavy lifting and associated costs for late-stage assets are borne by partners or are being managed with extreme discipline, keeping the core Fortress Biotech, Inc. structure lean while advancing these high-value candidates. This approach helps preserve capital while maximizing the potential return on investment from these focused development efforts. Finance: draft 13-week cash view by Friday.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Customer Relationships

You're looking at how Fortress Biotech, Inc. (FBIO) manages its connections with the various groups that sustain its model, which is heavily reliant on both product sales through subsidiaries and the monetization of pipeline assets. This isn't just about selling a drug; it's about managing a complex web of stakeholders, from the prescribing physician to the public equity holder.

The most direct customer relationship is managed through its majority-owned subsidiary, Journey Medical Corporation, which focuses on dermatology. This engagement is driven by a dedicated commercial infrastructure. For instance, the launch and adoption of Emrosi™ for inflammatory lesions of rosacea is a key metric here. As of the third quarter ended September 30, 2025, Emrosi™ generated $4.9 million in net sales for that quarter alone, which was a 75% increase compared to the second quarter of 2025. This sales traction is directly tied to physician engagement; unique Emrosi™ prescribers increased by 50% to over 2,700 during Q3 2025. The sales force effort is supported by expanding market access, which grew from 54 million commercial lives in May 2025 to over 100 million U.S. commercial lives by July 2025. Journey Medical's overall Q3 2025 net product revenues reached $17.0 million, reflecting the success of this commercial outreach, which is supported by SG&A expenses of $12.1 million for the quarter.

The relationships with dermatologists and their patients are built on the product portfolio itself. Journey Medical currently markets a total of eight branded FDA-approved prescription drugs. The clinical differentiation of Emrosi™ is a core part of the relationship narrative, with efficacy data presented in October 2025 confirming statistically significant superiority over Oracea® and placebo in pooled Phase 3 trials.

For the public equity holders of Fortress Biotech, Inc., the relationship is maintained through rigorous investor relations and transparent financial reporting. The company provided updates on its financial health as of September 30, 2025, reporting consolidated cash and cash equivalents of $86.2 million. Management has signaled a near-term goal, expecting to become sustainably EBITDA positive in Q4 2025. The structure of Fortress Biotech, Inc.'s value proposition to these holders is clearly defined by its asset monetization strategy, which directly impacts shareholder equity.

The long-term, structured royalty and CVR (Contingent Value Right) agreements represent a crucial, albeit indirect, relationship with the acquirers of its former subsidiaries, as these agreements define future cash flow streams to Fortress Biotech, Inc. shareholders. These deals validate the company's acquisition and development model.

Here is a look at the key financial relationships established through these structured agreements as of late 2025:

The relationship with the equity holders of its subsidiaries is also managed through the parent company structure. For example, as of September 30, 2025, the cash balance attributable to Journey Medical stood at $24.9 million out of Fortress Biotech, Inc.'s total $86.2 million. Similarly, Mustang Bio cash was $19.0 million. This internal allocation reflects the ongoing relationship and support for these operating entities.

The investor relations team actively communicates with the market, with recent events including participation in the H.C. Wainwright 27th Annual Global Investment Conference in September 2025. The company's focus is on delivering value through this diversified structure. If the PDUFA goal date for CUTX-101 on September 30, 2025, results in approval, Fortress Biotech, Inc. retains 100% ownership over any resulting FDA Priority Review Voucher, which is a significant potential future asset for shareholders.

You should review the latest investor presentation to see the current breakdown of the eight marketed products and the pipeline assets that underpin these relationships. Finance: draft 13-week cash view by Friday.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Channels

You're looking at how Fortress Biotech, Inc. (FBIO) gets its value propositions-the products and the potential-out to the market and how it builds its pipeline. It's a mix of direct commercial effort through subsidiaries and strategic deal-making.

The primary channel for current product revenue is definitely through its subsidiary commercial teams, most notably Journey Medical Corporation. This team is focused on dermatology, marketing several FDA-approved prescription products. For instance, in the third quarter of 2025, Journey Medical generated $17.0 million in net product revenues for Fortress, a nice jump from the $14.6 million seen in the third quarter of 2024.

The newest product, Emrosi™, is a key focus for this direct channel. After its full commercial launch began on April 7, 2025, it contributed $2.8 million in net sales in Q2 2025, which was its first full quarter on the market. This commercial push is supported by expanding market access; by July 2025, Emrosi had secured payer coverage for over 100 million commercial lives in the U.S., up from 54 million lives covered back in May 2025. Journey Medical itself markets eight branded FDA-approved prescription drugs.

When we look at the overall revenue flow, the data shows that these marketed products are the overwhelming source of top-line income, which implies that the distribution network relies heavily on established pharmaceutical wholesalers and specialty distributors to get those prescriptions filled. For Q3 2025, Fortress's total consolidated net revenue was $17.6 million, and $17.0 million of that came directly from these marketed dermatology products. That means about 96.6% of the total revenue in that quarter flowed through this commercial/distribution channel.

The business development network acts as the pipeline-building channel, focusing on asset in-licensing and out-licensing to monetize development-stage assets. This is where Fortress validates its strategy of building and selling off subsidiaries. A major recent example is the May 2025 acquisition of the Checkpoint Therapeutics subsidiary by Sun Pharma. That out-licensing event delivered Fortress approximately $28 million upfront, plus eligibility for an additional $4.8 million under a Contingent Value Right (CVR) and a 2.5% royalty stream on future UNLOXCYT™ sales.

Fortress also retains significant potential value from these deals. For the CUTX-101 asset, which had an FDA PDUFA date of September 30, 2025, Fortress retained 100% ownership of any Priority Review Voucher (PRV) issued upon approval, a voucher that typically commands a market price between $100-120 million. The company also executed a strategic exit with the sale of Baergic Bio, Inc. to Axsome Therapeutics in 2025.

Here's a quick look at the financial scale tied to these channels as of late 2025:

The operational costs for the commercial channel are also visible. Journey Medical's Selling, General and Administrative expenses (SG&A) were $11.9 million in Q2 2025, reflecting the incremental activity needed to support the Emrosi launch.

The overall strategy relies on these distinct channels working in tandem:

• - Subsidiary commercial teams for product distribution (e.g., Journey Medical) generated $17.0 million in net product revenue in Q3 2025.
• - Pharmaceutical wholesalers and specialty distributors handle the fulfillment of product revenue, which accounted for $17.0 million of the $17.6 million total Q3 2025 revenue.
• - Business development network realized ~$28 million upfront from the Checkpoint monetization event.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Customer Segments

You're looking at the key groups Fortress Biotech, Inc. (FBIO) targets to generate revenue and advance its portfolio as of late 2025. It's a mix of direct product sales and strategic corporate transactions.

Dermatology patients (e.g., rosacea, acne) for marketed products

This segment is served primarily through the subsidiary Journey Medical Corporation, focusing on prescription pharmaceutical products for dermatological conditions.

• Fortress Biotech's consolidated net revenue for the third quarter ended September 30, 2025, was $17.6 million.
• Of that total, $17.0 million was generated from marketed dermatology products in Q3 2025.
• Journey Medical Corporation's net product revenues for Q3 2025 were $17.0 million.
• The rosacea treatment Emrosi™ expanded its US commercial lives coverage to over 100 million as of July 2025.
• Emrosi contributed $4.9 million to the top line in Q3 2025, marking a 75% increase compared to Q2 2025.
• Worldwide, an estimated 415 million people suffer from rosacea.
• Surveys indicate over 90 percent of rosacea patients report lowered self-confidence due to their condition.

Oncologists and Rare Disease Specialists for pipeline candidates

These specialists are the ultimate prescribers for the pipeline assets, which are currently in various stages of clinical development across oncology and rare diseases. Fortress Biotech has over 20 candidates in pre-clinical and clinical development.

Large pharmaceutical and biotech companies (strategic acquirers)

This segment represents the exit strategy for Fortress Biotech's developed assets, providing significant, non-dilutive capital infusions and future royalty streams.

• Fortress subsidiary Checkpoint Therapeutics was acquired by Sun Pharmaceutical Industries Limited ('Sun Pharma') in May 2025.
• Fortress received approximately $28 million upfront cash from the Checkpoint closing.
• Fortress is eligible to receive up to an additional $4.8 million under a contingent value right (CVR).
• Fortress retains a 2.5% royalty on future net sales of UNLOXCYT™ (cosibelimab-ipdl).
• Another subsidiary, Baergic Bio, Inc., was acquired by Axsome Therapeutics ('Axsome').
• The upfront cash received from the Checkpoint sale represented approximately 35% of Fortress Biotech's market capitalization of approximately $80 million as of November 2025.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Cost Structure

You're looking at the core expenses Fortress Biotech, Inc. (FBIO) is managing as of late 2025, based on their Q3 2025 results. Honestly, the cost structure shows a major shift toward commercialization support and away from heavy R&D spending, which makes sense after recent divestitures.

• - Selling, General & Administrative expenses (Q3 2025: $12.1 million)
• - Cost of revenue for marketed dermatology products
• - Research and Development funding for subsidiaries (Q3 2025: $0.2 million consolidated)
• - Clinical trial and regulatory submission costs

The Selling, General & Administrative (SG&A) figure of $12.1 million for the third quarter of 2025 reflects an increase of approximately 6% from $11.4 million in Q3 2024. This uptick is primarily tied to the incremental operational activities needed to support the launch and commercialization of Emrosi. To be fair, this SG&A includes non-cash stock compensation expense of $1.9 million for the quarter.

For the Cost of Revenue component, the focus is clearly on the dermatology portfolio, which generated the bulk of the top line. Fortress's consolidated net revenue for Q3 2025 was $17.6 million, with $17.0 million coming directly from these marketed dermatology products. The gross margin on these products was reported at 67.4% for the quarter. This margin helps offset the SG&A tied to their sales and marketing efforts.

Research and Development (R&D) spending saw a dramatic reduction, which is a key cost control measure. Consolidated R&D expenses plummeted to just $0.2 million in Q3 2025, a massive drop from $9.4 million in Q3 2024. This change is largely due to the deconsolidation of Checkpoint Therapeutics following its acquisition by Sun Pharmaceutical Industries, Inc. in May 2025.

Clinical trial and regulatory submission costs are now embedded within that minimal R&D spend, though the pipeline remains active. For instance, Urica Therapeutics, a majority-owned subsidiary, is advancing dotinurad through two global Phase 3 trials (RUBY and TOPAZ) for gout treatment, which requires funding, even if it's currently being supported by Crystalys Therapeutics' recent $205 million Series A financing.

Here's a quick look at the key Q3 2025 financial metrics that drive these cost allocations:

Also, remember that Fortress Biotech, Inc. is structured to offload some development costs through its model of founding and partnering subsidiaries. The cost structure you see is leaner because they successfully monetized assets like Checkpoint, which generated an upfront payment of approximately $28 million to Fortress.

Finance: draft 13-week cash view by Friday.

Fortress Biotech, Inc. (FBIO) - Canvas Business Model: Revenue Streams

You're looking at how Fortress Biotech, Inc. (FBIO) converts its strategy into cash flow as of late 2025. The business model leans heavily on monetizing assets through strategic sales, ongoing royalties, and product commercialization from its subsidiaries. It's a diversified approach designed to fund the pipeline, so let's break down the actual numbers driving the top line.

Here's a quick look at the concrete financial components that make up the Revenue Streams block of the Canvas:

The most direct revenue comes from the marketed dermatology portfolio, primarily through its subsidiary Journey Medical Corporation. For the third quarter ended September 30, 2025, net product sales from these dermatology products hit $17.0 million. This shows tangible, near-term revenue generation from commercialized assets, which is a key differentiator for Fortress Biotech.

The long-term, lower-cost revenue component is built on royalties from previously monetized assets. You see this clearly with the Checkpoint Therapeutics transaction; Fortress is entitled to a 2.5% royalty on future worldwide net sales of UNLOXCYT™ (cosibelimab-ipdl). Also, following the sale of dotinurad to Crystalys Therapeutics, the subsidiary Urica is set to receive a 3% royalty on future net sales of that gout treatment.

Strategic monetization events provide significant, non-recurring cash infusions that bolster the balance sheet. The sale of the subsidiary Checkpoint Therapeutics to Sun Pharmaceutical Industries Limited in May 2025 delivered approximately $28 million in upfront cash proceeds to Fortress. This immediate cash was defintely a major boost.

Beyond direct sales and royalties, Fortress Biotech participates in the success of its portfolio companies through equity stakes, which can translate into dividends or further monetization events. The revenue streams are structured to capture value at multiple stages:

• - Net product sales from dermatology portfolio (Q3 2025: $17.0 million)
• - Royalty income (e.g., 2.5% on UNLOXCYT™, 3% on dotinurad)
• - Upfront payments from asset sales (e.g., Checkpoint sale generated ~$28 million)
• - Equity dividends from subsidiary and partner companies