Quantum BioPharma Ltd. (NASDAQ: QNTM) (CSE: QNTM) is preparing to move its multiple sclerosis drug candidate, Lucid-MS, into phase 2 clinical trials, according to a statement from the company.

Lucid-MS is described by the company as a patented new chemical entity that targets the myelin sheath, the protective coating that MS progressively damages. In preclinical models, the compound has been shown to prevent and reverse myelin degradation, which the company identifies as the underlying mechanism of the disease.

More than 2.9 million people worldwide are currently living with MS. No approved cure exists, and current therapies can slow the disease's progression but cannot halt it entirely, according to the company's statement.

Lucid-MS is being developed through Quantum BioPharma's wholly owned subsidiary, Lucid Psycheceuticals Inc. The company also holds a 19.84% ownership stake in Unbuzzd Wellness Inc., as of March 31, 2026, and retains a royalty arrangement entitling it to 7% of Unbuzzd product sales until payments reach $250 million, after which the royalty rate drops to 3% in perpetuity.