WINNIPEG, MANITOBA--(Marketwire - Oct. 6, 2011) - DiaMedica Inc. (TSX VENTURE:DMA) a biopharmaceutical company focused on the development of novel treatments for diabetes announces that the Company has received the 2011 Emerging Company of the Year Award from the Life Science Association of Manitoba (LSAM). The Life Science Association of Manitoba represents the provinces biotechnology, pharmaceutical, medical device and health products industries.

The Emerging Life Science Company of the Year award celebrates a company based in Manitoba that is recognized for their growth potential. They will have distinguished themselves from their peers with demonstrated technology innovation and achievement of milestones.

LSAM builds and supports the industries through: Sector Promotion, Training and Advocacy. The Association's annual awards recognize leaders and innovators of the life science community.

The Company also announced that it has issued 520,000 stock options to officers and directors under the terms of the Company's stock option plan. The options have an exercise price of $1.15 and a term of 10 years. The grant of options is subject to acceptance by the TSX Venture Exchange.

About DiaMedica

DiaMedica is a biopharmaceutical company that has developed novel therapeutic compounds aimed to improve the lives of patients with diabetes and other major, medically-unmet diseases. DiaMedica's lead compound, DM-199, represents a novel approach to treating Type 1 and Type 2 diabetes by demonstrating significant results against three major aspects of these diseases: 1) halting the autoimmune attack on beta cells; 2) proliferating insulin producing beta cells and 3) improving glucose control.

DiaMedica is also developing DM-204, a monoclonal antibody that inhibits the enzyme glycogen synthase kinase 3 beta (GSK3B). In pre-clinical studies, DM-204 significantly improved glucose control and decreased blood pressure.
The company is listed on the TSX Venture Exchange under the trading symbol 'DMA'.

Caution Regarding Forward-Looking Information

The statements made in this press release that are not historical facts contain forward-looking information that involves risk and uncertainties. All statements, other than statements of historical facts, which address DiaMedica's expectations, should be considered forward-looking statements. Such statements are based on management's exercise of business judgment as well as assumptions made by and information currently available to management. When used in this document, the words "may", "will", "anticipate", "believe", "estimate", "expect", "intend" and words of similar import, are intended to identify any forward-looking statements. You should not place undue reliance on these forward-looking statements. These statements reflect a current view of future events and are subject to certain risks and uncertainties as contained in the Company's filings with Canadian securities regulatory authorities. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results could differ materially from those anticipated in these forward-looking statements. The Company undertakes no obligation, and does not intend, to update, revise or otherwise publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of any unanticipated events. Although management believes that expectations are based on reasonable assumptions, no assurance can be given that these expectations will materialize.