Shares in Futura Medical (LON:FUM) plummeted on Wednesday after the company issued a market update.

The pharmaceutical firm said in the statement that potential investors have asked for further tests on its MED2002.

Its MED2002 product is a topical gel for the treatment of erectile dysfunction, which it describes as a “breakthrough” innovation.

As a result of the ongoing discussions, Futura Medical said it will take the product through to further development stages, with the aim of later finding a partner for producing the product.

Moreover, the firm confirmed that the company received approval for its two-year shelf life for CSD500, its erectogenic condom over the course of the week.

However, the company said that Futura does not have ‘the marketing or regulatory medical device resources to support the day-to-day requirements in a growing compliance-driven market’.

As a result, Futura said it will focus on securing licensing for the product with potential partners who can provide the necessary requirements.

Whilst the firm said it still expects to benefit from the Intellectual Property of CSD500 through royalties, it noted that immediate opportunity for substantial royalties is low in the absence of a large global brand.

The Company said it will continue to explore potential opportunities to address this.

Back in July, Futura’s pain relief gel moved closer to commercialisation after its partner, Thornton & Ross, filed for a market authorisation application with UK authorities.

Approval would pave the way for the gel, currently known as TPR100, to be marketed and sold in the UK.

Futura Medical is set to report its interim results next Wednesday.

Shares in Futura are currently trading -34.08 percent as of 13.26AM (GMT).