Quantum BioPharma Ltd. Opposes Motion to Dismiss in $700 Million Market Manipulation Lawsuit

Quantum BioPharma Ltd. (NASDAQ: QNTM) (CSE: QNTM) has taken a firm stance against a joint motion to dismiss filed by CIBC World Markets and RBC Dominion Securities in the U.S. District Court. The biopharmaceutical company's opposition comes in response to a June motion aimed at dismissing Quantum's amended complaint, which accuses the defendants of engaging in market manipulation through 'spoofing' between January 1, 2020, and August 15, 2024. This alleged activity is said to have violated federal securities laws, with Quantum seeking over $700 million in damages.

The lawsuit, pursued on a contingency basis by Christian Attar and Freedman Normand Friedland LLP, claims that the defendants spoofed the market hundreds of times, artificially depressing Quantum's stock price, which once traded above $460 per share. Quantum BioPharma suspects that additional banks or brokers may be involved in these activities and remains open to exploring a potential resolution to the case.

Quantum BioPharma is not just a company embroiled in legal battles; it is also at the forefront of developing innovative biotech solutions for challenging neurodegenerative and metabolic disorders, as well as alcohol misuse disorders. Its wholly owned subsidiary, Lucid Psycheceuticals Inc., is currently focusing on the research and development of Lucid-MS, a patented new chemical entity shown to prevent and reverse myelin degradation in preclinical models. Myelin degradation is the underlying mechanism of multiple sclerosis, making this research potentially groundbreaking.

Additionally, Quantum BioPharma has made strategic moves in the consumer health sector with its invention of UNBUZZD(TM), an OTC product spun out to Celly Nutrition Corp. Quantum retains a significant ownership stake in Celly Nutrition and benefits from royalty payments based on sales of UNBUZZD(TM). The company also maintains a portfolio of strategic investments through its subsidiary, FSD Strategic Investments Inc., which includes loans secured by residential or commercial property.

This legal battle and Quantum BioPharma's innovative research and strategic investments highlight the company's dynamic approach to navigating the complexities of the biopharmaceutical industry and the financial markets. For more details on Quantum BioPharma's latest developments, visit https://ibn.fm/QNTM.