Insiders Subscribe for Diamyd Shares

STOCKHOLM, Sweden, March 24, 2009 (GLOBE NEWSWIRE) -- Diamyd Medical's CEO
Elisabeth Lindner is exercising 5,000 subscription warrants, increasing her
holdings in Diamyd Medical to 9,100 Class B shares.

"Diamyd is in a tremendously positive and exciting stage in its development.
Converting the options is a unique opportunity for me as an insider to increase
my long-term ownership in the company," said Diamyd Medical's President and CEO
Elisabeth Lindner.

Out of the 50,000 stock options that Diamyd Medical's CEO acquired in 2008, she
is subscribing for 5,000 new shares on her own behalf for a value of SEK
500,000. Lindner is keeping 25,000 of the remaining options, and is selling
10,000 options each to Chairman of the Board Anders Essen-Moller and principal
shareholder Bertil Lindqvist.

During the previous week Bertil Lindqvist bought 3,000 shares, thereby
increasing his holdings to 3,893,303 Class B shares. Board Member Lars Jonsson
also bought 550 shares of Diamyd Medical, and now owns 1,150 Class B shares.

The stock option is being traded up till and including April 8 on the First
North Exchange, and can be converted into a Class B share in Diamyd Medical AB
from March 16 through April 17, 2009. The redemption price is SEK 100.

About Diamyd Medical:

Diamyd Medical is a Swedish biopharmaceutical company focusing on the
development of pharmaceuticals for the treatment of autoimmune diabetes and its
complications. The company's most advanced project is the GAD-based drug
Diamyd(r) for type 1 diabetes. Phase III trials for this drug are in progress in
both the US and Europe. In addition, the Company has initiated clinical studies
in the US using enkephalin to treat chronic pain, using its Nerve Targeting Drug
Delivery System. The Company has also out-licensed the use of GAD for the
treatment of Parkinson's disease.

Diamyd Medical has offices in Sweden and the US. Its shares are listed on the
OMX Stockholm Nordic Exchange (Stockholm:DIAM B) and on OTCQX in the US (Pink
Sheets:DMYDY) administered by the Pink Sheets and the Bank of New York (PAL).
Further information is available on the company's website; www.diamyd.com.

For more information, please contact:

Elisabeth Lindner, President and CEO Diamyd Medical AB (publ.) or Alexandra
Fleetwood, Head of Communications, e-mail: alexandra.fleetwood@diamyd.com.
VAT no: SE556530-142001.(www.omxnordicexchange.com) (Stockholm:DIAM B)
(www.otcqx.com) (Pink Sheets:DMYDY)

This information is being published in accordance with the Securities Act, the
Financial Instruments Trading Act, or requirements stated in the listing
agreement.

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CONTACT: Diamyd Medical AB (publ.)
+46 (0)8 6610026
Fax: +46 8661 63 68
info@diamyd.com
Linnegatan 89 B, SE-115 23
Stockholm, Sweden