Palatin Technologies Receives Second MIDASPatent.

Business Editors and Health/Medical Writers

PRINCETON, N.J.--(BUSINESS WIRE)--March 30, 2000

Palatin Technologies Inc. (ASE:PTN), a biotechnology company with pipeline products in infection imaging and sexual dysfunction, Thursday announced that the U.S. Patent and Trademark

This is the second MIDAS patent to issue having claims that cover the design and synthesis of conformationally constrained metallo-peptides. MIDAS is Palatin's platform technology for design and development of receptor selective agents for use as therapeutics or imaging.

Dr. Carl Spana, Palatin's chief technology officer, commented: "We believe that MIDAS will allow Palatin to develop highly stable peptide-based drugs, which will give us an advantage over other groups seeking to address the same issues. Our first MIDAS therapeutic agent, for treating obesity, is in animal testing, and we anticipate receiving results within three months.

"In addition, we have several MIDAS-based cancer imaging agents that have demonstrated efficacy in animal models and we are currently deciding which will move forward toward clinical trials."

In addition to MIDAS (Metal Ion-induced Distinctive Array of Structures), Palatin is developing LeuTech, a potential replacement for current methods of imaging sites of infection, such as white blood cell labelling; and PT-14, a peptide for treating male Erectile Dysfunction.

In the third quarter of 1999 Palatin entered into an agreement with St. Louis-based Mallinckrodt Inc. (NYSE:MKG) to market and distribute LeuTech. The company filed a BLA for LeuTech in November 1999 and is confident that its submittal is strong, with potential clearance by the FDA this year. Palatin and Mallinckrodt plan marketing pre-launch for the fall.

Palatin Technologies is a development-stage medical technology company developing and commercializing pharmaceutical products for diagnostic imaging and therapy based on its proprietary monoclonal antibody radiolabeling and enabling peptide platform technologies. For further information, visit the Palatin Web site at www.palatin.com.

For investor information, visit the Allen & Caron Inc. Web site at www.allencaron.com.

Statements about the company's future expectations, including development and regulatory plans, and all other statements in this document other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and as that term is defined in the Private Securities Litigation Reform Act of 1995. The company intends that such forward-looking statements be subject to the safe harbors created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the company's actual results could differ materially from expected results.