Diamyd announced last week the results of its rights issue, with 50% of the total offering subscribed, meaning the company garners gross proceeds of SEK57m. Its cash chest at the end of Q2 (2023/24) was SEK137m, and we estimate it has likely risen to some SEK160–170m following the rights issue. On our estimates, Diamyd is now financed a good way into 2025, even without including additional capital injections from existing warrants and options (potentially totalling SEK163m). Should these be fully subscribed, we believe Diamyd will have sufficient capital to take it far into 2026.

In February, the company announced it had received fast track designation for its Diamyd immunotherapy. This is one of the programmes the FDA can use to potentially simplify or shorten the route to market approval for a drug that it believes has the potential to address a large medical need. The company also stated more recently that 100 patients have now been included in the DIAGNODE 3 study, with none having dropped out so far. Given that Diamyd has been conservative in its assumptions regarding drop-outs from the study, we believe there is the possibility of its completing the study early while still achieving the targeted statistical strength. This means it believes around 280–290 patients should be sufficient in a scenario where only very few drop out.

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