Pressreleaser | 28 Mar 2024 | Diamyd Medical

Diamyd Medical AB: Diamyd Medical publishes prospectus with regards to the rights issue

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

• The Rights Issue comprises a maximum of 9,494,799 units, of which 274,163 are A-units and 9,220,636 are B-units, corresponding to issue proceeds of approximately SEK 114 million before deduction of related issue costs.
• Shareholders in Diamyd Medical on the record date, March 27, 2024, will for each one (1) held share, regardless of share class, receive one (1) unit right of the same class. Ten (10) unit rights will entitle the holder to subscribe for one (1) new unit of the corresponding share class, implying a subscription ratio of 1:10.
• Each A-unit contains one (1) share of series A and one (1) warrant of series TO 4 A and each B-unit contains one (1) share of series B and one (1) warrant of series TO 4 B.
• The subscription price in the Rights Issue has been set to SEK 12.00 per unit.
• Chairman of the Board of Directors and founder, Anders Essen-Möller, has committed to subscribing for units equivalent to approximately SEK 1 million. In addition, CEO Ulf Hannelius has committed to subscribe for his pro rata share of the Rights Issue, corresponding to approximately SEK 0.4 million, and other senior executives have committed to subscribe for units equivalent to approximately SEK 0.2 million. In total, the Rights Issue is thus covered by subscription commitments equivalent to approximately SEK 1.6 million, corresponding to approximately 1.4 percent of the Rights Issue.

Timeline for the Rights Issue and subscription

April 2, 2024 – Subscription period
April 16, 2024     
  
April 2, 2024 – Trading in unit rights of series B (UR B)
April 11, 2024
April 2, 2024 – May Trading in paid subscribed B-units (BTU B)
8, 2024
April 16, 2024 Expected announcement of the preliminary outcome
April 18, 2024 Expected announcement of the final outcome

The subscription period in the Rights Issue will commence on Tuesday, April 2, 2024, and a link to the subscription form will be made 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 TO 4
Two (2) warrants of series TO 4 entitle the holder to subscribe for one (1) new share of the corresponding share class in the Company during the period from and including March 3, 2025, to and including March 31, 2025, at an exercise price of SEK 16.00. The warrants of series TO 4 A and TO 4 B are the same securities that were issued in the Company’s rights issue in October 2023, and TO 4 B will be traded on the Nasdaq First North Growth Market under the same ISIN as the previously issued warrants of series TO 4 B.

Advisors
G&W Fondkommission acts as Financial Advisor to Diamyd Medical in connection with the Rights Issue. MAQS Advokatbyrå 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 the prevention and treatment of Type 1 Diabetes and LADA (Latent Autoimmune Diabetes in Adults). Diamyd[®] is an antigen-specific immunomodulatory therapeutic for the preservation of endogenous insulin production that has been granted Orphan Drug Designation in the U.S. as well as Fast Track Designation (Feb-2024) by the U.S. FDA. DIAGNODE-3, a confirmatory Phase III trial is actively recruiting patients with recent-onset Type 1 Diabetes in eight European countries and 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 prospective European Phase IIb trial, where Diamyd[®] was administered directly into a superficial lymph node in children and young adults with recently diagnosed Type 1 Diabetes. Injections into a superficial lymphnode can be performed in minutes and is intended to optimize the immune response. 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 also develops the GABA-based investigational drug Remygen[®] as a component in the treatments of metabolic diseases. Diamyd Medical is a major shareholder 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.