DMA Diamedica Therapeutics

DiaMedica Inc. (TSX VENTURE: DMA), a biotechnology company developing novel treatments for various stages of type 2 diabetes, is pleased to announce that it has retained The Equicom Group Inc. to provide DiaMedica with strategic investor relations and communication services.

Equicom provides investor relations to public companies in Canada and specializes in the development and execution of tailored, strategic investor communications programs. Equicom is a wholly-owned subsidiary of the TMX Group Inc. and is headquartered in Toronto with offices in Montreal and Calgary. The principals and representatives of Equicom hold no common shares of DiaMedica either directly or indirectly.

Pursuant to the Agreement, Equicom will be responsible for designing and implementing a customized investor relations strategy that clearly identifies DiaMedica's market position and potential. Equicom will also provide the Company with a number of other services including: ongoing capital markets counsel; preparation of investor relations materials and content; coordination of capital markets outreach with key members of the professional investment community; development of retail broker relations; providing market feedback from investors and coordination of basic media relations. Under the terms of the agreement, DiaMedica will pay Equicom a monthly retainer fee of $5,000 for select strategic investor relations and communication services. The initial contract term is 12 months and is effective June 2, 2009.

About DiaMedica

DiaMedica is focused on developing novel treatments for type 2 diabetes based on a newly discovered 'nerve reflex' mechanism for which the Company has been issued two U.S. patents. DiaMedica has completed a phase IIa clinical trial with DM-71 which demonstrated the ability to reduce HbA1c (blood sugar) levels and weight in humans. DiaMedica also completed a phase IIa trial with its second compound, DM-83, designed to measure changes in insulin and glucose. The Company's third drug in clinical development, DM-99, completed a phase IIa trial in Q1 2009. Encouraging results from this exploratory clinical study displayed a positive trend in blood glucose in type 2 diabetes patients after they consumed a meal. Earlier preclinical results from Vanderbilt University indicated that DM-99 is able to cause tissue to increase its uptake of sugar from the blood by over 40% (p less than 0.001) during the first 60 minutes of treatment. The Company is also working on DM-199, a 40x more biologically active version of DM-99, along with other early stage development programs. DiaMedica has been recognized as one of the Top Ten(TM) Life Science companies in Canada for the past two years by the Ottawa Center for Research and Innovation.

About Equicom Group

Equicom, a wholly-owned subsidiary of TMX Group Inc., is a leading Canadian provider of investor relations and strategic corporate communications services. With proven expertise in developing and executing highly effective strategic communications programs, and an extensive network of investment community contacts, Equicom specializes in helping clients achieve their capital markets objectives. Equicom offers a comprehensive suite of services including: investor relations, media relations, annual report production, multimedia and web design, web casting, live event management and corporate branding. Equicom is headquartered in Toronto, with offices in Montreal and Calgary. For further information, please visit www.equicomgroup.com

Neither 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 this release.

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, "forward-looking statements"). These forward-looking statements relate to, among other things, our objectives, goals, targets, strategies, intentions, plans, beliefs, estimates and outlook, including, without limitation, our anticipated future operating results, 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.

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: DiaMedica's early stage of development, lack of product revenues and history of operating losses, 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, supply of raw materials, income tax matters, management of growth, partnerships for development and commercialization of technology, effects of insurers' willingness to pay for products, system failures, dependence on key personnel, foreign currency risk, risks related to regulatory matters and risks related to intellectual property and other risks detailed from time to time in DiaMedica's filings with Canadian securities regulatory authorities, as well as DiaMedica's ability to anticipate and manage the risks associated with the foregoing. 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 final long-form prospectus dated March 12, 2007. 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.

These risks and uncertainties should be considered carefully and prospective investors 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.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contacts: DiaMedica Inc. Kevin Richardson, Ph.D. 204.478.5605 204.453.3745 (FAX) krichardson@diamedica.com www.diamedica.com