Saxagliptin hydrochloride monohydrate, an anti-diabetic drug can be synthesized using a coupling reaction of (S)-phthalimido-(3-hydroxy-adamantan-1-yl)acetic acid with (1S,3S,5S)-2-azabicyclo[3.1.0]hexane-3-nitrile followed by removal of the phthalimide protecting group and treatment with HCl.