ReShape Lifesciences share increases by more than 10% before commercialization: why it happened
- ReShape Lifesciences Inc’s (NASDAQ: RSLS) share price rose more than 10% before market. That’s why it happened.
The share price of ReShape Lifesciences Inc (NASDAQ: RSLS) – a physician-led weight loss and metabolic health solutions company – has risen more than 10% before market. Investors are responding positively to the company’s announcement that it has completed the transition of its Lap-Band manufacturing from Apollo Endosurgery to a Massachusetts-based manufacturer. And ReShape Lifesciences expects this change to enable it to reduce costs, improve margins and directly control the manufacturing process.
The Lap-Band – now manufactured by ReShape Lifesciences – is the only FDA-approved laparoscopic weight loss device specifically indicated for a BMI of 30 or greater in the United States.
And the procedure has been performed over a million times worldwide since 1993 and is reimbursed to eligible patients by most insurance companies. Lap-Band has been proven to be the safest bariatric procedure available on the market, supported by 20 years of clinical data demonstrating lower complication and mortality rates than other surgical weight loss procedures.
“Moving Lap-Band production under our direct operations allows us to have better control of the manufacturing process for significant cost reductions, anticipated scale and improved efficiency. As we all emerge from the recent pandemic, we pride ourselves on providing products capable of helping a growing population of people with weight loss needs and supporting the addition of new manufacturing and logistics jobs to the States. -United. “
– Bart Bandy, President and CEO of ReShape Lifesciences
Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.