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Palatin Technologies Announces Reacquisition of Full Rights to Bremelanotide Program
Date:9/10/2007

CRANBURY, N.J., Sept. 10 /PRNewswire-FirstCall/ -- Palatin Technologies, Inc. (Amex: PTN) today announced it has reacquired full rights to bremelanotide, a first in class melanocortin agonist drug candidate for the treatment of male erectile dysfunction (ED) and female sexual dysfunction (FSD) from King Pharmaceuticals Inc. (NYSE: KG).

The companies mutually agreed to end their collaborative development and marketing agreement on bremelanotide, with King exercising its right to terminate. Under the termination, Palatin has all rights to bremelanotide, without any obligation for future payments to King. King has no financial obligation for future payments to Palatin, other than for previously incurred costs not yet reimbursed and approved expense reimbursements related to the wind-down of the collaboration. The decision follows recent responses from representatives of the U.S. Food and Drug Administration (FDA), which raised serious concerns about the acceptable benefit/risk ratio to support the progression of bremelanotide into Phase 3 studies for ED as a first-line therapy in the general population.

The termination of the collaborative development and marketing agreement is effective December 6, 2007. King retains the previously issued Palatin unregistered common stock and warrants.

Palatin is in the process of reviewing the responses and comments made by the FDA and plans to engage the FDA in further discussions in order to determine next steps related to the
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SOURCE Palatin Technologies, Inc.
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