- Being able to carry out an oversubscribed share issue in today's market means a great deal to us, says Ulf Hannelius, CEO of Diamyd Medical. It shows that our vision is shared by many and also serves as a testament to the progress we have made over the past year. I would like to extend a heartfelt thank you to all shareholders who believe in us and our work. Thanks to this resource-efficient capital raise, we now have the financial resilience to carry us all the way to the Phase 3 results in March 2026.

The Board of Directors in Diamyd Medical resolved on February 28, 2025, pursuant to the authorization granted by the Company's annual general meeting held on December 5, 2024, on a rights issue of up to approximately SEK 208 million.

Final Outcome
The Rights Issue was comprised of 26,024,624 units, of which 389,624 A-units and 15,597,393 B-units, corresponding to approximately 61 percent of the offered units, have been subscribed for with unit rights. Additionally, applications for subscription of 12,014,210 B-units without unit rights, corresponding to approximately 46 percent of the offered units, have been received. Thus, the subscriptions by exercise of unit rights and the applications for subscription without unit rights correspond to approximately 108 percent. Through the Rights Issue, the Company will thus receive issue proceeds of approximately SEK 205 million before the deduction of costs attributable to the Rights Issue. The Rights Issue is not subject to costs for underwriting commitments.

Exercise of the Additional Unit Issue
In connection with the Company's announcement on February 28, 2025, that the Board of Directors had resolved on the Rights Issue, the Board of Directors also communicated its intention to resolve on an additional unit issue of up to 2,500,000 B-units, corresponding to additional issue proceeds of up to SEK 20 million, in the event that the B-units offered in the Rights Issue were fully subscribed. The purpose was to meet a higher-than-anticipated demand and to provide the Company with additional capital. Due to the strong interest in the Rights Issue, the Board of Directors have today resolved, pursuant to the authorization granted by the Company's annual general meeting held on December 5, 2024, on the Additional Unit Issue without preferential rights up to the amount subscribed in excess of the full subscription of the total amount of B-units offered in the Rights Issue. Consequently, a total of 2,334,103 B-units will be issued in the Additional Unit Issue.

After a comprehensive assessment and careful consideration as to whether there are sufficient reasons to deviate from the shareholders' preferential rights, the Board of Directors believes that carrying out the Additional Unit Issue without preferential rights is a better alternative for the Company and its shareholders, as it provides the Company with additional working capital to expand preparations for a potential market approval, with a relatively limited dilution, in a time-efficient and cost-effective manner. The Board of Directors thus assess it to be in the interests of both the Company and its shareholders to proceed with the Additional Unit Issue. The Board of Directors' overall assessment is therefore that the reasons for conducting the Additional Unit Issue outweigh the reasons underlying the main rule that new share issues shall be carried out with preferential rights for shareholders. The subscription price in the Additional Unit Issue will correspond to the subscription price in the Rights Issue, i.e., SEK 8 per unit, equivalent to SEK 8 per share (the warrants are issued free of charge). By virtue of the Additional Unit Issue, the Company will receive additional issue proceeds of approximately SEK 19 million before deduction of related issue costs, and thus the total issue will increase to approximately SEK 224 million before related issue costs.

Notice of allotment
All those who have subscribed for units without unit rights will be allocated units in accordance with the principles set out in the EU growth prospectus which was approved and registered by the Swedish Financial Supervisory Authority on April 14, 2025. Notice of allotment to the persons who subscribed for units without unit rights is expected to be distributed on May 2, 2025. Subscribed and allotted units shall be paid in cash within three banking days in accordance with the instructions on the settlement note sent to the subscriber. Subscribers who have subscribed for units through a nominee will receive notification of allocation in accordance with their respective nominee's procedures. Only those who have been allotted units will be notified.

Number of shares and share capital
Through the Rights Issue, Diamyd Medical's share capital will increase by SEK 2,639,450.1502, from SEK 10,557,800.6008 to SEK 13,197,250.7510, and the number of shares will increase by 26,024,624 shares, from 104,098,496 shares to 130,123,120 shares, resulting in that the number of A-shares after the Rights Issue will amount to 3,735,620 and the number of B-shares will amount to 126,387,500. As a result of the Additional Unit Issue, the share capital will increase by an additional SEK 236,727.6666, from SEK 13,197,250.7510 to SEK 13,433,978.4176, and the number of shares will increase by 2,334,103 shares, from 130,123,120 shares to 132,457,223 shares, resulting in that the number of A-shares after the Rights Issue and the Additional Unit Issue will amount to 3,735,620 and the number of B-shares will amount to 128,721,603.

The last day of trading in paid subscribed units (Sw. BTU B) is expected to be May 20, 2025. The new B-shares and TO 5 B subscribed for with and without unit rights are expected to be traded on Nasdaq First North Growth Market around May 26, 2025.

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

About Diamyd Medical
Diamyd Medical develops precision medicine therapies to prevent and treat Type 1 Diabetes. Diamyd^® is an investigational antigen-specific immunomodulatory therapeutic for the preservation of endogenous insulin production specifically for individuals carrying a HLA DR3-DQ2 gene. Diamyd^® has been granted Orphan Drug Designation in the U.S. as well as Fast Track Designation by the U.S. FDA for the treatment of Stage 3 (clinically diagnosed symptomatic) Type 1 Diabetes. Diamyd^® has also been granted Fast Track Designation for the treatment of Stage 1 and 2 (pre-symptomatic) Type 1 Diabetes. DIAGNODE-3, a confirmatory Phase III trial is actively recruiting patients with recent-onset (Stage 3) Type 1 Diabetes at 60 clinics in eight European countries and in the US. An early read-out of the Phase 3 trial is expected in March 2026. Significant results in preserving endogenous insulin production have previously been shown in a large genetically predefined patient group - both in a largescale meta-analysis as well as in the Company's prospective European Phase IIb trial. The DIAGNODE-3 trial is recruiting only this patient group that carries the common genotype known as HLA DR3-DQ2, which constitutes approximately 40 % of patients with Type 1 Diabetes in Europe and the US. A biomanufacturing facility is under development in Umeå, Sweden, for the manufacture of recombinant GAD65 protein, the active ingredient in the antigen-specific immunotherapy Diamyd^®. Diamyd Medical is a major shareholder in the stem cell company NextCell Pharma AB and 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.