DiaMedica Receives $2.7 Million Through Accelerated Warrant Exercise

DiaMedica (TSX VENTURE:DMA) today announces, that pursuant to the provision of
written notification provided on November 22, 2010 on the accelerated expiry of
the warrants issued on June 30, 2010, DiaMedica has received proceeds of
approximately $2.7 million resulting from the exercise of approximately 5.4
million warrants.


About DiaMedica

DiaMedica is a biopharmaceutical company focused on developing novel treatments
for type 1 diabetes, type 2 diabetes and other disorders. DiaMedica has
completed two successful proof-of-concept phase II studies with DM-71 and DM-99,
which demonstrate human efficacy in lowering blood glucose levels in patients
with type 2 diabetes.


DiaMedica's lead product DM-199 is a novel next generation recombinant form of
DM-99, which has shown the potential to increase insulin sensitivity, reduce the
autoimmune attack and trigger proliferation of pancreatic beta cells, neural
stem cells and bone marrow cells. DiaMedica is listed on the TSX Venture
Exchange under the trading symbol "DMA". For further information please visit
www.diamedica.com.


Caution Regarding Forward-Looking Information

Certain statements contained in this press release constitute forward-looking
information within the meaning of applicable Canadian provincial securities
legislation (collectively, the "forward-looking statements"). These
forward-looking statements relate to, among other things, DiaMedica's
objectives, goals, targets, strategies, intentions, plans, beliefs, estimates
and outlook, and can, in some cases, be identified by the use of words such as
"believe," "anticipate," "expect," "intend," "plan," "will," "may" and other
similar expressions. In addition, any statements that refer to expectations,
projections or other characterizations of future events or circumstances are
forward-looking statements. Specifically, this press release contains
forward-looking statements regarding matters such as, but not limited to, the
anticipated use of proceeds from the Offering, management's assessment of
DiaMedica's future plans, information with respect to the advancement of
DiaMedica's research and development programs, and DiaMedica's other estimates
and expectations. These statements reflect management's current beliefs and are
based on information currently available to management. Certain material factors
or assumptions are applied in making forward-looking statements, and actual
results may differ materially from those expressed or implied in such
statements. Important factors that could cause actual results to differ
materially from these expectations include, among other things: uncertainties
and risks related to our research and development programs, the availability of
additional financing, risks and uncertainties relating to the anticipated use of
proceeds, changes in debt and equity markets, uncertainties related to clinical
trials and product development, rapid technological change, uncertainties
related to forecasts, competition, potential product liability, additional
financing requirements and access to capital, unproven markets, the cost and
supply of raw materials, management of growth, effects of insurers' willingness
to pay for products, risks related to regulatory matters and risks related to
intellectual property matters. 

Additional information about these factors and about the material factors or
assumptions underlying such forward-looking statements may be found in the body
of this news release, as well as under the heading "Risk Factors" contained in
DiaMedica's 2009 annual information form. DiaMedica cautions that the foregoing
list of important factors that may affect future results is not exhaustive. When
relying on DiaMedica's forward-looking statements to make decisions with respect
to DiaMedica, investors and others should carefully consider the foregoing
factors and other uncertainties and potential events. Such forward-looking
statements are based on a number of estimates and assumptions, which may prove
to be incorrect, including, but not limited to, assumptions regarding the
availability of additional financing for research and development companies, and
general business and economic conditions. These risks and uncertainties should
be considered carefully and investors and others should not place undue reliance
on the forward-looking statements. Although the forward-looking statements
contained in this press release are based upon what management believes to be
reasonable assumptions, DiaMedica cannot provide assurance that actual results
will be consistent with these forward-looking statements. DiaMedica undertakes
no obligation to update or revise any forward-looking statement. Additional risk
factors, factors which could cause actual results to differ materially from
expectations, and assumptions relating specifically to our acquisition of
Sanomune may be found in our press releases dated February 18, 2010 and April
20, 2010.