ReShape Lifesciences has entered into a definitive merger agreement with Obalon Therapeutics, under which ReShape and Obalon will combine in an all-stock transaction. Under the terms of the merger agreement that has been unanimously approved by the boards of directors of both companies, existing ReShape stockholders will have majority ownership of the combined company immediately following the closing of the merger and Obalon will be renamed ReShape Lifesciences Inc. and will trade under the NASDAQ ticker symbol "RSLS." The current directors and officers of ReShape will comprise the board of directors and executive management of the combined company.
"We are excited with this opportunity to add Obalon's FDA approved Balloon System to ReShape's line of minimally invasive weight-loss solutions while also expanding our market reach. Our portfolio also includes the Lap-Band, emerging products that support bariatric surgical procedures across the spectrum and ReShapeCare, which is our reimbursed, telehealth-based patient support program that is available for any medically supervised weight loss programme, said Bart Bandy, President and Chief Executive Officer of ReShape. “This integration positions us to achieve our goals for growth and continued advancement towards becoming the premier weight loss company for physicians and patients."
Completion of the merger is subject to certain closing conditions, including, among other things, approval by the stockholders of ReShape and Obalon, the Securities and Exchange Commission declaring effective an Obalon registration statement registering the shares to be issued in connection to the merger, and the NASDAQ Stock Market's approval of the continued listing of the combined company in connection with the completion of the merger.