Bli medlem
Bli medlem

Du är här

2014-04-02

Diamyd Medical AB: Diamyd Medical's former sister company secures new financing

Diamyd Medical holds shares in the US gene therapy company Periphagen
Holdings, Inc. Periphagen has announced the successful completion of
a financing transaction where a life science fund invests up to USD
16 million, of which USD 6.5 million has been closed.

"The money and expertise that the fund brings significantly increase
the chances of successful development of Periphagen's gene therapy
platform," says Peter Zerhouni, President and CEO of Diamyd Medical.
"Diamyd Medical will benefit from that in several ways as, apart from
being a shareholder, we have other financial interests in the company
and the platform as well as certain rights to use Periphagen's
technology in diabetes."

"We are very pleased to welcome the fund as an investor in
Periphagen," says Darren Wolfe, CEO and Co-founder of Periphagen.
"The new investor support gives us the necessary resources to expand
Periphagen as a clinical stage biopharmaceutical company and we
deeply appreciate their confidence in our ability to efficiently
develop new treatments to the benefit for patients with significant
unmet medical need."

Periphagen Holdings, Inc. bought the former Diamyd, Inc. in October
2012 including the rights to a gene therapy platform based on a
Herpes Simplex Virus. As part of the purchase price Diamyd Medical
received a 10 percent ownership share in Periphagen and a claim of
USD 1 million with a 15 year duration. Furthermore, Diamyd Medical
may receive up to USD 9 million in milestone payments if certain
development results are achieved. In addition, Diamyd Medical will
receive 10 percent of upfront payments and other payments Periphagen
may receive from future partners, as well as royalties on future
sales of drugs based on the gene therapy technology.

With the new financing transaction Diamyd Medical's ownership share
has decreased. Diamyd Medical's other financial interests in
Periphagen remain unchanged.

For further information, please contact:
Peter Zerhouni, President and CEO Diamyd Medical AB
Phone: +46 8 661 00 26. E-mail: press@diamyd.com

About Diamyd Medical
Diamyd Medical is a Swedish diabetes company. The Company's primary
development project consists of the GAD-based diabetes vaccine
Diamyd®for the treatment and prevention of autoimmune diabetes. Two
Swedish researcher-initiated Phase II studies with Diamyd®are
ongoing. One study evaluates whether the diabetes vaccine can prevent
type 1 diabetes in children who are at high risk of developing the
disease, while the other study evaluates whether Diamyd®in
combination with vitamin D and ibuprofen can preserve the body's own
ability to regulate the blood sugar level in children and adolescents
newly diagnosed with type 1 diabetes.

In May 2013 the Company concluded an exclusive licensing agreement
with the University of California in Los Angeles (UCLA) relating to a
patent portfolio for the therapeutic use of GABA (gamma-aminobutyric
acid) and GABA receptor agonists for the treatment and prevention of
type 1 and type 2 diabetes and other inflammation-related conditions,
such as metabolic syndrome, rheumatoid arthritis and allergies.

Diamyd Medical also has holdings in the gene therapy company
Periphagen Holdings, Inc. (US).

Diamyd Medical's Series B share is traded on NASDAQ OMX First North
under the ticker DMYD B. Remium Nordic AB is the Company's Certified
Adviser. Further information is available on the Company's website:
www.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.
-----------------------------------------------------------
http://news.cision.com/diamyd-medical-ab/r/diamyd-medical-s-former-siste...
http://mb.cision.com/Main/6746/9562604/228387.pdf

Författare Hugin

Tala om vad ni tycker

Tala om vad ni tycker

Ni är just nu inne på en betaversion av nya aktiespararna. Lämna gärna feedback på vad ni tycker i formuläret nedan.