DMA Diamedica Therapeutics

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THE UNITED STATES


DiaMedica Inc. (TSX VENTURE:DMA), is pleased to announce that the agent, Jordan
Capital Inc., of its previously announced public offering (the "Offering") of
2,888,910 units has exercised its over-allotment option to sell an additional
31,000 units issuable upon exercise of the over-allotment option (the Agent
having exercised the over-allotment option to sell an additional 110,910 units
on the closing date of the Offering), resulting in the issuance of an additional
31,000 units at a price of $0.90 per unit for gross proceeds of $27,900. This
issuance increases the total gross proceeds from the Offering to $2,627,919. 


As with the net proceeds from the Offering that closed on December 23, 2013, the
net proceeds from the exercise of the over-allotment option will be used to fund
DiaMedica's research and development, including a Phase II clinical trial for
Type 2 diabetes, and for working capital and general and administrative
purposes.


About DiaMedica

DiaMedica Inc. (TSX VENTURE:DMA) is a biotechnology company developing
first-in-class treatments for the treatment of diabetes. DiaMedica's lead
compound, DM199, is a recombinant human protein for the treatment of both Type 1
and Type 2 diabetes and their complications. The Company is also developing the
first therapeutic GPCR agonist monoclonal antibody, DM204, for the treatment of
Type 2 diabetes and cardiovascular disease. DiaMedica's shares trade on the TSX
Venture Exchange (TSX VENTURE:DMA). For more information please visit
www.diamedica.com.


FORWARD-LOOKING STATEMENTS

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.


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of the contents of this News
Release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Rick Pauls
President and CEO
DiaMedica
One Carlson Parkway, Suite 124 , Minneapolis, MN
Phone: 763-710-4455
info@diamedica.com

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