Quantum Biopharma Receives Nasdaq Notification of Regaining Compliance with Nasdaq's Minimum Bid Price Requirement and Completes Debt Settlements

TORONTO, ON / ACCESSWIRE / September 6, 2024 / Quantum BioPharma Ltd. (formerly, FSD Pharma Inc.) (NASDAQ:QNTM)(CSE:QNTM)(FRA:0K91) ("Quantum BioPharma" or the "Company"), a biopharmaceutical company dedicated to building a portfolio of innovative assets and biotech solutions, is pleased to announce that it has received a formal notice from The Nasdaq Stock Market, LLC ("Nasdaq") stating that the Company has regained compliance with the minimum bid price requirement set forth in Rule 5550(a)(2) of the Nasdaq Listing Rules. Quantum BioPharma is now in compliance with all applicable listing standards and will continue to be listed and traded on the Nasdaq.

Debt Settlements

In addition, further to its press release dated August 23, 2024 (the "August 23 Release"), the Company has completed debt settlements in the amount of $450,000 with each of Anthony Durkacz, Zeeshan Saeed and Donal Carroll, officers of the Company, (together, the "Executives") to preserve the Company's cash through the issuance of 248,160 Class B Shares, at a deemed price of $5.44 per Class B Share (each, a "Debt Settlement").

Capitalized terms not otherwise defined herein have the meanings attributed to them in the August 23 Release.

The Class B Shares are subject to a four month and one day hold period pursuant to the policies of the CSE and applicable securities laws.

Related Party Transaction

Each Debt Settlement constituted a "related party transaction", as such term is defined in MI 61-101 due to the involvement of each of the Executives, who are officers of the Company, and would have required the Company to receive minority shareholder approval for, and obtain a formal valuation for the subject matter of, the transaction in accordance with MI 61-101, prior to the completion of each such transaction. However, in completing the Debt Settlements, the Company relied on the exemptions contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, respectively, in respect of the participation of the Executives in the Debt Settlements as neither the fair market value (as determined under MI 61-101) of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involved the Executives, exceeds 25% of the Company's market capitalization (as determined under MI 61-101).