DiaMedica Therapeutics Secures $30.1M in Private Placement Led by Current Investors.

DiaMedica Therapeutics has raised $30.1 million in a private placement of common shares. The company will issue 8.60 million shares, with the deal led by current investors. The funds will support DiaMedica's ongoing operations and development of its therapeutic candidates.

DiaMedica Therapeutics Inc. (Nasdaq: DMAC), a clinical-stage biopharmaceutical company specializing in developing treatments for preeclampsia, fetal growth restriction, and acute ischemic stroke, has successfully raised $30.1 million through a private placement of common shares. The company, led by current investors, will issue 8,606,426 shares at a purchase price of $3.50 per share [1].

The funds raised will support DiaMedica's operations for more than two years and enable the company to achieve key milestones, including the submission of an investigational new drug (IND) application in the United States for preeclampsia and fetal growth restriction. Additionally, the capital will fund a Phase 2b study to further evaluate DM199 in both indications, pending IND approval [1].

Rick Pauls, President and CEO of DiaMedica, expressed optimism about the financing, stating, "This funding allows us to rapidly accelerate our development efforts in preeclampsia and fetal growth restriction, both of which currently lack approved treatment options. We believe DM199 has the potential to be a disease-modifying therapy for these patients, and we look forward to building upon what is already the most advanced clinical program targeting these conditions" [1].

The private placement, led by current investors without the engagement of a placement agent, is expected to close on or about July 23, 2025, subject to customary closing conditions. The transaction is exempt from the valuation and minority shareholder approval requirements of Canadian securities laws, as the consideration paid to related parties does not exceed 25% of the company's market capitalization [1].

DiaMedica's lead candidate, DM199 (rinvecalinase alfa), is a recombinant form of human tissue kallikrein-1 (rhKLK1) in clinical development for preeclampsia, fetal growth restriction, and acute ischemic stroke. DM199 is intended to lower blood pressure, enhance endothelial health, and improve perfusion to maternal organs and the placenta in preeclampsia and fetal growth restriction, and to increase collateral circulation in the penumbra following a stroke [1].

References:
[1] https://www.diamedica.com/investors/press-releases/detail/1707/diamedica-therapeutics-raises-30-million-in-private