Diamyd Medical publishes prospectus with regards to the rights issue

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The prospectus with regards to Diamyd Medical AB’s (publ) (”Diamyd Medical” or the “Company”) rights issue of approximately SEK 243 million, which was resolved on by the Board of Directors on September 20, 2023, with the subsequent approval from the Company's extraordinary general meeting held on October 10, 2023, (the “Rights Issue”) has today been approved and registered by the Swedish Financial Supervisory Authority. The subscription period in the Rights Issue will commence on October 17, 2023.

The prospectus
The prospectus, together with all other information pertaining to the Rights Issue, is held available on the Company’s website, www.diamyd.com, on G&W Fondkommission’s website, www.gwkapital.se, as well as on Aqurat Fondkommission’s website, www.aqurat.se. The prospectus will also be made available on the Swedish Financial Supervisory Authority’s website, www.fi.se.

Summary of the Rights Issue

• Shareholders in Diamyd Medical on the record date, October 13, 2023, will for each one (1) held share, regardless of share class, receive one (1) unit right of the same class. Three (3) unit rights will entitle the holder to subscribe for one (1) new unit of the corresponding share class, implying a subscription ratio of 1:3.
• Each unit consists of one (1) share, of either class A or B, one (1) free of charge warrant of series TO3 for the corresponding share class and one (1) free of charge warrant of series TO4 for the corresponding share class.
• The subscription price in the Rights Issue has been set to SEK 8.50 per unit.
• Chairman of the Board of Directors and founder, Anders Essen-Möller, Vice Chairman of the Board of Directors Erik Nerpin, CEO Ulf Hannelius, CFO Anna Styrud, CMO/CBO Christoph Nowak and COO Manufacturing site, Maja Johansson, has collectively undertaken to subscribe for units in the Rights Issue equivalent to approximately SEK 7.9 million and corresponding to approximately 3.3 percent of the Rights Issue.
• Warrants of series TO3B and TO4B are expected to be admitted to trading on Nasdaq First North Growth Market in close connection with the Rights Issue being registered with the Swedish Companies Registration Office (Bolagsverket) and the conversion of BTUs into common shares and warrants.

Timeline for the Rights Issue and subscription

The subscription period in the Rights Issue will commence on Tuesday, October 17, 2023, and a link to the subscription form is available on the Company’s, G&W Fondkommission’s and Aqurat Fondkommission’s respective websites. Please note that shareholders with nominee-registered holdings subscribe in the Rights Issue, both with and without the support of unit rights, through their nominee.

Exercise price and subscription period for warrants of series TO3
Two (2) warrants of series TO3 entitle the holder to subscribe for one (1) new share of the corresponding share class in the Company during the period September 2, 2024 – September 30, 2024 at an exercise price of SEK 11.00.

Exercise price and subscription period for warrants of series TO4
Two (2) warrants of series TO4 entitle the holder to subscribe for one (1) new share of the corresponding share class in the Company during the period March 3, 2025 – March 31, 2025 at an exercise price of SEK 16.00.

Advisors
G&W Fondkommission acts as Financial Advisor to Diamyd Medical in connection with the Rights Issue. Advokatfirman Delphi is Legal Advisor to the Company and Aqurat Fondkommission AB has been appointed as Issuer Agent.

About Diamyd Medical
Diamyd Medical develops precision medicine therapies for Type 1 Diabetes. Diamyd^® is an antigen-specific immunotherapy for the preservation of endogenous insulin production. DIAGNODE-3, a confirmatory Phase III trial is actively recruting patients with recent-onset Type 1 Diabetes in eight European countries and has started in the US. Significant results have previously been shown in a large genetically predefined patient group in a large-scale meta-analysis as well as in the Company’s European Phase IIb trial DIAGNODE-2, where Diamyd^® was administered directly into a lymph node in children and young adults with recently diagnosed Type 1 Diabetes. A biomanufacturing facility is being set up in Umeå for the manufacture of recombinant GAD65, the active ingredient in the antigen-specific immunotherapy Diamyd^®. Diamyd Medical also develops the GABA-based investigational drug Remygen^® as a therapy for regeneration of endogenous insulin production and to improve hormonal response to hypoglycaemia. Diamyd Medical is one of the major shareholders in the stem cell company NextCell Pharma AB as well as in the artificial intelligence company MainlyAI AB.

Diamyd Medical’s B-share is traded on Nasdaq First North Growth Market under the ticker DMYD B. FNCA Sweden AB is the Company’s Certified Adviser.