Diamyd Medical’s rights issue oversubscribed

Diamyd Medical (Nasdaq Stockholm First North, DMYD B) today announced that the
Company has completed a new share issue with preferential rights for existing
shareholders through which the Company will receive proceeds of MSEK 22.1 before
issue expenses. There has been substantial interest in the issue. Subscription
applications totaling approximately MSEK 45.8 were received, corresponding to a
subscription rate of about 207 percent.
94.6 percent of the rights issue was subscribed based on subscription rights. In
addition, 112.3 percent of the rights issue was subscribed without the exercise
of subscription rights. In total, 206.9 percent of the overall number of shares
were subscribed as part of the rights issue. Shares subscribed for without
preferential rights have primarily been allocated to those who have subscribed
for shares on the basis of preferential rights.

“Thank you all for your support. We will do our best to make this into a good
investment and to the benefit of those with diabetes,” says Anders Essen-Möller,
President and CEO of Diamyd Medical.

7,373,140 new shares will be issued as part of the rights issue, of which
319,528 comprise Series A shares and 7,053,612 Series B shares. On account of
the rights issue, the number of shares in Diamyd Medical will increase to
29,492,562. The Company will receive proceeds of MSEK 22.1 before issue
expenses.

Information regarding the possible allotment of shares, for subscribers without
preferential rights, will be sent in the form of a settlement note. Settlement
notes are expected to be dispatched on February 26, 2016.

As soon as the increase in the share capital has been registered by the Swedish
Companies Registration Office, paid up BTAs (interim shares) in the rights issue
will be converted to new shares. Until then, trading in BTAs will continue on
Nasdaq Stockholm First North. Trading in the new shares is expected to commence
on Nasdaq Stockholm First North in the week beginning on March 14, 2016. Diamyd
Medical AB’s share capital will amount to SEK 2,991,219.79 after the issue.

About Diamyd Medical
Diamyd Medical is dedicated to finding a cure for autoimmune diabetes through
pharmaceutical development and investments in stem cell and medical technology.

Diamyd Medical develops the diabetes vaccine Diamyd®, an Antigen Based Therapy
(ABT) based on the exclusively licensed GAD-molecule. The Company’s licensed
technologies for GABA and Gliadin have also potential to become key pieces of
the puzzle of a future solution to prevent, treat or cure autoimmune diabetes,
and also certain inflammatory diseases. At this time six clinical studies are
ongoing with Diamyd®. Diamyd Medical is with its holdings of 39% one of the
major shareholders in the stem cell company Cellaviva AB. Stem cells can be
expected to be used in Personalized Regenerative Medicine (PRM), for example for
restoration of beta cell mass in diabetes patients where the autoimmune
component of the disease has been arrested. Diamyd Medical also has holdings in
the medtech company Companion Medical, Inc., San Diego, USA and in the gene
therapy company Periphagen, Inc., Pittsburgh, USA.

Diamyd Medical’s B-share is traded on Nasdaq Stockholm First North under the
ticker DMYD B. Remium Nordic AB is the Company’s Certified Adviser.
For further information, please contact:
Anders Essen-Möller, President and CEO
Phone: +46 70 55 10 679. E-mail: anders.essen-moller@diamyd.com
Diamyd Medical AB (publ)
Kungsgatan 29, SE-111 56 Stockholm, Sweden. Phone: +46 8 661 00 26, Fax: +46 8
661 63 68
E-mail: info@diamyd.com. Reg. no.: 556242-3797. Website: www.diamyd.com.