Diamyd Medical: Financial Statement 11/12
STOCKHOLM -- October 31, 2012
Quarterly Report Diamyd Medical AB (publ)(STO:DIAMB)(Pink Sheets:DMYDY),
fiscal year 2011/2012 (www.omxgroup.com ticker: DIAM B; www.otcqx.com ticker:
Reporting period June 1, 2012 – August 31, 2012
· Group net sales amounted to MSEK 0.1 (2.2)
· Loss before tax amounted to MSEK -28.3 (-26.5)
· Earnings per share after dilution were SEK -1.0 (-0.9)
· The Group’s liquid assets and short term investments amounted to MSEK 380
(436) as of August 31, 2012
Full year, September 1, 2011 – August 31, 2012
· Group net sales amounted to MSEK 1.0 (280.8)
· Loss before tax amounted to MSEK -51.5 (profit 101.8)
· Earnings per share after dilution were SEK -1.7 (3.5)
Significant events during the reporting period June 1, 2012 – August 31, 2012
· Results were reported from Phase II study in cancer pain
Significant events after the reporting period
· Agreement was entered into for the sale of U.S. gene therapy company
· Diamyd Medical limited further investment in the diabetes vaccine
· Extraordinary General Meeting of Diamyd Medical AB approved the sale of U.S.
gene therapy company
CEO COMMENTS The last quarter we have been occupied to change the course of
Diamyd Medical in order to safeguard the Company’s success in the long term.
At the end of the reporting period we had SEK 380 million in liquid assets and
short term investments. The financial position and the stock listing represent
significant strengths in the current business climate.
Yesterday, an Extraordinary General Meeting of Diamyd Medical with
overwhelming majority approved the sale of the U.S. subsidiary, Diamyd, Inc.,
including the development projects based on the Nerve Targeting Drug Delivery
System (NTDDS) with applications in pain and neuropathy among others. The
buyer, Periphagen Holdings, Inc. assumes all costs and revenues related to the
NTDDS business from September 1, 2012, whilst Diamyd Medical retains the right
to share in future successes of the NTDDS platform.
The day before the Extra General Meeting, we announced the Board of Directors’
decision to limit the investment in further development of the diabetes
vaccine Diamyd® for the treatment and prevention of autoimmune diabetes to SEK
30 million over the coming three years. A Swedish researcher initiated Phase
II study is ongoing to evaluate whether Diamyd® can prevent or delay type 1
diabetes in children who are at high risk of developing the disease. Results
from that study are scheduled for 2015. There are also plans from researchers
to test Diamyd® in combination with other agents in small, less costly
clinical pilot studies. The ambition is to have new scientific results within
three years providing opportunities for partnering with major pharmaceutical
companies or other funding.
Through these two decisions we limit Diamyd Medical’s financial commitments
towards the development projects where we have had set backs in clinical
studies during the past 18 months. These measures should be seen as steps in
Diamyd Medical's process to build a company generating a lasting robust
return. Further information will be presented in connection with the Annual
General Meeting to be held in December.
Stockholm, October 31, 2012 Peter Zerhouni President and CEO Diamyd Medical AB
SIGNIFICANT EVENTS DURING THE REPORTING PERIOD June 1, 2012 – August 31, 2012
Results were reported from Phase II study in cancer pain. Diamyd Medical AB
has reported that the Phase II study evaluating the Company’s drug candidate
NP2 Enkephalin did not meet the primary objective of reducing pain in subjects
with severe intractable cancer pain. The treatment was however well tolerated.
SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD
Agreement was entered into for the sale of U.S. gene therapy company. Diamyd
Medical AB entered into an agreement for the sale of the U.S. subsidiary,
Diamyd, Inc., involved in drug development primarily relating to the NTDDS
platform with applications in pain and neuropathy among others. The buyer,
Periphagen Holdings, Inc., is owned by members of the management of Diamyd,
Inc. The agreement was subject to approval of an Extraordinary General Meeting
of Diamyd Medical. By reason of the divestment, Diamyd Medical postponed its
Year End Report to October 31, 2012.
Diamyd Medical limited further investment in the diabetes vaccine. Diamyd
Medical AB decided to allocate a maximum of SEK 30 million over three years
for the development of the diabetes vaccine Diamyd®. The development
activities are gathered in the subsidiary Diamyd Therapeutics.
Extraordinary General Meeting of Diamyd Medical AB approved the sale of U.S.
gene therapy company. An Extraordinary General Meeting of Diamyd Medical AB
(publ) held on October 30, 2012, decided in accordance with the Board's
resolution, to approve the agreement to sell all shares in the subsidiary,
Diamyd, Inc. to Periphagen Holdings, Inc.
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Peter Zerhouni, President and CEO
Diamyd Medical AB.
Phone: + 46 8 661 00 26
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