Reshape Lifesciences Inc. - RSLS STOCK NEWS

ReShape Lifesciences (Nasdaq: RSLS) announced it will showcase data on its innovative Diabetes Bloc-Stim Neuromodulation (DBSN) device at the Keystone Symposia on Type 2 Diabetes from May 1-4, 2023, in Palm Springs, CA. The DBSN device aims to improve glycemic control in patients with early-stage diabetes by utilizing sub-diaphragmatic vagus nerve neuromodulation. Study results indicate significant improvements in glycemic control, allowing Fasting Plasma Glucose to decrease from an average of 102 mg/dL to 74 mg/dL. A survey showed that 82% of type 2 diabetes patients interested in lifestyle changes would consider a device like DBSN. Paul Hickey, the CEO, emphasized the market potential of this technology, which could reduce dependence on medications and enhance personalized treatment approaches.

ReShape Lifesciences (Nasdaq: RSLS) reported Q4 2022 revenues of $2.7 million, part of a total annual revenue of $11.2 million, down 17.4% from 2021. Despite this decline, the company showed sequential quarterly growth in the U.S. with operating expenses reduced by 27.9% or $5.1 million in the second half of 2022 compared to the first half. ReShape raised approximately $16.0 million over the past year, bolstering its balance sheet and extending its cash runway into 2024. The company is executing a profitability plan, supported by significant product pipeline developments and strategic input from a newly formed Scientific Advisory Board. A patent allowance related to the Obalon Balloon System provides additional protection for its product portfolio.

ReShape Lifesciences Inc. (Nasdaq: RSLS) has entered into a securities purchase agreement with an institutional investor to sell 800,695 shares of common stock at $3.07 per share in a registered direct offering, along with corresponding unregistered warrants. This offering is expected to generate approximately $2.5 million in gross proceeds, set to close around April 24, 2023, subject to standard conditions. The company also plans to amend existing warrants to an exercise price of $3.07. The securities will be offered under a previously effective shelf registration statement, and the associated warrants will be exercisable for 5.5 years. Maxim Group LLC is the sole placement agent for this transaction.

ReShape Lifesciences (NASDAQ: RSLS) announced on April 11, 2023, that it received a Notice of Allowance from the U.S. Patent and Trademark Office for patent application 16/792,094, which pertains to the Obalon® Balloon System. This patent offers additional claims and is expected to provide protection until at least January 2031, potentially extended further through a Patent Term Extension.

CEO Paul F. Hickey emphasized that this patent significantly bolsters their intellectual property portfolio, marking a key step in defending their innovations within the intragastric balloon market. Since their first patent application in 2011, ReShape has developed a comprehensive patent family aimed at protecting its product offerings in weight loss and metabolic health solutions.