Futura Medical PLC (AIM:FUM, OTC:FAMDF) has turned to the market for fresh investment, raising £2.75 million with a share issue as it works to stabilise the business and push forward with new sexual health products.
The fundraising comes as the company continues to grapple with slower-than-expected sales of its flagship erectile dysfunction gel, Eroxon, and prepares for a pivotal year of clinical data and commercial decisions.
The money has been raised through a mix of firm and conditional placings and a subscription for 275 million new shares at 1 pence each, a 54.5% discount to Wednesday’s closing price.
The company said the issue was oversubscribed. Around £300,000 of the total comes from a firm placing already authorised by shareholders, while the remainder depends on approval at a general meeting on 2 December. If that vote fails,
Alongside the fundraising, the board is undergoing a reshuffle. Alex Duggan will become permanent chief executive, while Angela Hildreth will stay on as finance director and chief operating officer.
Andrew Unitt, currently the senior independent director, will step up as non-executive chair.
The company says the fresh capital will support the development of Eroxon Intense, a stronger formulation intended to deliver more pronounced sensations, and WSD4000, an early-stage topical treatment aimed at improving sexual response in women.
Funds will also cover patent costs, legal fees linked to strategic reviews and working capital.
Sales of Eroxon have been weaker than hoped across all major markets. Futura said lower repeat purchases reflect factors such as unrealistic expectations, misunderstanding about correct usage and the product’s “binary” efficacy profile, in which it works well for some and not at all for others.
The company and its partners are now focusing on clearer packaging, better consumer education and more targeted marketing.
A commercial review with Cooper Consumer Health is underway in Europe, while talks continue with Haleon over “alternative, potentially third-party, commercial and distribution strategies”.
Looking to next year, Futura expects an important run of data, including home user test results for Eroxon Intense and an early feasibility study for WSD4000 in the first quarter.
A US patent milestone payment of about $2.5 million linked to Eroxon is also expected in the first half of 2026.
To retain key staff through what it describes as a critical turnaround period, Futura plans to grant options representing 9% of enlarged share capital to senior executives, subject to performance targets tied to share price growth.
The company said the funding, together with expected receipts and current cash, should provide a runway through to December 2026.