Palatin Technologies, Inc. (NYSE Amex: PTN), announced today that it has received $978,000 in grants under the Patient Protection and Affordable Care Act of 2010 (PPACA), with $847,000 available immediately and $131,000 available no later than 30 days after Palatin's fiscal year ending June 30, 2011.
The grants are related to four of Palatin's projects – melanocortin agonists for sexual dysfunction; melanocortin agonists for obesity and related metabolic syndrome; natriuretic peptide mimetic PL-3994 for acute asthma; and subcutaneously-delivered natriuretic peptide mimetic PL-3994 for cardiovascular disease.
The PPACA provides small and mid-sized biotech, pharmaceutical and medical device companies with up to a 50% tax credit for investments in qualified therapeutic discoveries for tax years 2009 and 2010, or a grant for the same amount tax-free. The tax credit/grant program is limited to an aggregate total over both years of $1 billion.
Qualifying therapeutic discovery projects under the PPACA include those designed to either treat or prevent diseases or conditions by conducting preclinical studies or clinical trials or carrying out research protocols for the purpose of securing approval from the Food and Drug Administration.