Futura Medical PLC (AIM:FUM) (LON:FUM) has inked a licensing deal which should see its fast-acting erectile dysfunction gel rolled out across Brazil and Mexico.
It said it will receive payments on all sales of its MED3000 treatment by m8 Pharmaceuticals.
The announcement reveals the UK group, which is also developing a pain relief drug using its transdermal technology, will receive milestone payments of US$8.5mln.
These will be based on “deliverable sales volumes”, while Futura will also receive a small upfront sum.
m8, meanwhile, will be responsible for all local MED3000 development and regulatory costs.
Futura chief executive James Barder said: "We are excited to be entering into this agreement with m8 to expand MED3000's market reach to Brazil and Mexico, both significant markets for ED.
“We are very pleased to have a partner with m8's dedicated launch, brand-building and marketing experience as well as resources and strong pharmaceutical connections in Latin America. We look forward to working closely with their team."