STOCKHOLM, Sweden, May 12, 2006 (PRIMEZONE) -- Diamyd Medical AB (Stockholm:DIAMB) (Other OTC:DMYDF) with its lead drug candidate for diabetes in Phase IIb trials, announced today that Khandaker Partners, a US-based independent research and advisory firm specializing in small-cap and emerging growth companies, has agreed to initiate coverage of the Company. Khandaker Partner's first analytical report is planned to be released in approximately four weeks. Subsequent follow-up analytical reports are expected to be published every quarter thereafter.
"We are excited to initiate coverage on Diamyd Medical and include the company in our Microcap Investment Portfolio," said Dr. Tan Khandaker, CEO of Khandaker Partners (New York).
Currently, Diamyd Medical is implementing a program to enhance its presence in the US. Last year, it established a base in Pittsburgh through the acquisition of a small biotech organization with projects in the areas of diabetes, neurology and cancer. The company also reached an agreement with Protein Sciences Corporation, a Connecticut-based biopharmaceutical service company, to produce Diamyd(tm), its lead therapeutic diabetes vaccine, for Phase III trials, as well as prepare to file an Investigational New Drug Application (IND) with the U.S. Food & Drug Administration (FDA).
"The United States represents the largest market for our diabetes vaccine. We consider it a step forward to contract Khandaker Partners to provide research coverage of Diamyd Medical. Their research with enable us to better reach US investors," said Anders Essen-Moller, CEO of Diamyd Medical.
Diamyd Medical is scheduled to present at Operaterassen Stockholm on June 1 and at Handelsbanken Capital Market, Copenhagen on June 7.
About Diamyd Medical
Diamyd Medical's furthest developed project is Diamyd(tm), which is currently employed in three ongoing clinical trials of both Type 2 and Type 1 Diabetes. With the acquisition of Nurel Therapeutics in Pittsburgh, the Company's development portfolio now includes several preclinical gene therapy projects for diabetic neuropathy (nerve damage), chronic pain and cancer.
About Khandaker Partners
The Company is dedicated to the emerging growth sectors of the Healthcare, Information Technology and Energy. Khandaker Partners identifies firms with significant near term and long term opportunities that demonstrate substantial growth and are positioned to outperform both their peers and the markets at large. Coverage commences with an in depth Initiation valuation report, followed by up to three quarterly updates that are issued following the release of subsequent quarterly earnings.
Diamyd Medical AB (corporate. id. no. 556530-1420) Linnegatan 89B, SE-115 23 Stockholm Sweden. Tel: +46 (0)8-661 00 26 , fax: +46 (0)8-661 63 68 or email: info@diamyd.com, www.diamyd.com
Disclosure. This announcement is made as a matter of record only and does not constitute or form any part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase to subscribe for, any securities in Diamyd Medical AB. This information includes statements concerning historical, present and forward-looking items and is to the "best of knowledge" of the management of Diamyd Medical and the actual status and results achieved by the Company may differ materially from these statements. The Company assumes no obligation to update these statements to reflect actual results, changes in assumptions or changes in other factors affecting such statements. The Company's Press Releases, Quarterly Reports and Annual Reports are translations from the Swedish originals. No guarantees are made that the translation is free from errors.