Atticus Pharma wins $2M NIH grant for cutaneous lupus drug candidate

Atticus Pharma received a $2 million NIH Phase II SBIR grant to advance ATC-001, a topical anandamide formulation for cutaneous lupus lesions. The funding supports preclinical development, manufacturing scale-up and IND-enabling work as the company moves toward clinical trials.

Why it matters: - Cutaneous lupus has no FDA-approved treatment, leaving patients to rely on steroids and other off-label drugs that can carry serious side effects. - Atticus Pharma’s topical, sustained-release approach is designed to deliver medication directly to lesions and reduce systemic exposure. - The grant gives the company non-dilutive capital to move a lead skin-disease program closer to the clinic.

What happened: - Atticus Pharma received a Notice of Award for a $2 million Phase II Small Business Innovation Research grant from the National Institute of Arthritis and Musculoskeletal and Skin Diseases, part of the NIH. - The funding will advance ATC-001, an endocannabinoid microparticle formulation using the company’s Z-pod platform for topical treatment of cutaneous manifestations of lupus erythematosus. - The award was announced Sept. 23, 2026.

The details: - The grant supports preclinical development, manufacturing scale-up and other IND-enabling studies. - The program builds on positive data from multiple animal models of lupus. - Those studies showed resolution of lesions and major improvements in skin and histopathology scores. - Phase II work and prior Phase I work are being done with Victoria P. Werth, M.D., professor of dermatology at the Hospital of the University of Pennsylvania and the Veterans Administration Medical Center. - Atticus is headquartered in Greenville, South Carolina, with key personnel in San Diego. - The company said the award adds to more than $4 million in non-dilutive SBIR funding received in the past month.

Between the lines: - NIH backing can help validate a platform company’s technology as it seeks later-stage financing and commercial partners. - The topical delivery strategy may appeal to clinicians and patients if it can show local benefit with fewer whole-body side effects than systemic options. - The funding also signals continued federal interest in early-stage dermatology and autoimmune drug development.

What's next: - Atticus plans to continue IND-enabling work for ATC-001. - The company expects ATC-001 to enter clinical trials in 2027. - Atticus is also developing ATC-002 for androgenic alopecia, which recently completed a human clinical study in 98 women and showed significant new hair growth with no treatment-related serious adverse events. - The company continues to pursue partnerships in skin and immunodermatological diseases.

The bottom line: - The NIH grant gives Atticus Pharma fresh momentum to push a nonhormonal, skin-targeted lupus treatment toward human testing.