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Niacin (nicotinic acid) is a highly water-soluble vitamin, which has been used asa lipid-lowering agent. Sustained release (SR) niacin tablet was developed in oder to maintain a constant drug concentration for a specific period of time with minimum side effects. In this study, the once daily extended release matrix tablets of niacin using a hydrophilic polymer of HPMC K100M as matrix excipientwere prepared by wet granulation method. The results of the dissolution study indicate that the release of the drug was found to be dependent on the proportions of HPMC used in the tablets. The dissolution profile of the optimal formula was similar to that of the predict and attained the requirements of USP 37. The dug incorporated in the matrix released by diffusionand fitted the first order kinetic.