There is a strong need for novel and innovative approaches to treat atopic dermatitis that control the early symptoms, such as itch, and keep sustained remission, while maintaining both efficacy and a very good safety profile.

The histamine H₄ receptor (H₄R) is a G-protein coupled receptor that is widely distributed in skin and is over expressed in atopic dermatitis patients. Data from several preclinical in vitro and in vivo studies suggest that this novel target plays a key role in allergic and immuno-inflammatory disorders. Furthermore, the H₄R regulates chemotaxis of inflammatory cells and has been proven to be highly involved in the mechanism of pruritus.

Palau’s H₄R antagonist, UR-65318, is intended to provide relevant anti-inflammatory activity and an early control of atopic dermatitis symptoms, specially pruritus. The potential allowance for chronic administration will compete favourably with current therapy, which may increase the risk of malignancies.

UR-65318 is the first H₄R antagonist for the treatment of atopic dermatitis. The compound displays high affinity and selectivity for the H₄R, equivalent efficacy profile compared to gold standard treatments such as Protopic^TM and an excellent safety profile.

Preclinical regulatory studies are scheduled for Q3 2010.

Palau is seeking to establish a creative and value-driven strategic alliance with a leading biopharmaceutical company for further development and commercialization of UR-65318.