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ReShape Lifesciences Signs Exclusive License Agreement With Biorad Medisys for Obalon Gastric Balloon System Royalty-Bearing License Agreement Covers the Countries in the Indian Subcontinent, Representing Approximately 2

Key Takeaway: ReShape Lifesciences has entered into an exclusive license agreement with Biorad Medisys for the distribution of the Obalon Gastric Balloon System across various countries in the Indian subcontinent. This agreement involves an upfront payment of $200,000 and a royalty of 4% on gross sales. The partnership aims to leverage Biorad's experience to expand the reach of ReShape's innovative technology in a region that represents a significant portion of the global population. The deal signifies a strategic step towards the global re-launch and commercialization of the Obalon system.

Market Sentiment Analysis

POSITIVE FACTORS

  • Exclusive agreement allows ReShape to reintroduce its technology globally.
  • Partnership with Biorad gives access to a vast South Asian market.
  • Unveiling of a non-surgical weight loss solution with the Obalon system.

Full Press Release Details

ReShape Lifesciences Signs
Exclusive License Agreement With Biorad Medisys for Obalon Gastric Balloon System
Royalty-Bearing License Agreement Covers the
Countries in the Indian Subcontinent, Representing Approximately 20% to 25% of the World's Population
Calif., September 21, 2023 -- ReShape Lifesciences Inc. (Nasdaq: RSLS), the premier physician-led weight
loss and metabolic health solutions company, today announced the signing of an exclusive, royalty-bearing license agreement with Biorad
Medysis, Pvt. Ltd. (Biorad) to manufacture, commercialize and distribute the Obalon Gastric Balloon System in India,
Pakistan, Bangladesh, Nepal, Bhutan, Sri Lanka, and the Maldives. Based in Mumbai, India, Biorad is an established, science-driven
medical device manufacturer that has successfully manufactured and sold innovative medical devices in the urology, gastroenterology,
orthopedic and neurovascular industries, which is now expanding into the bariatric arena. The license agreement provides $200,000 in
upfront payments from Biorad to ReShape and ongoing license payments of 4% on gross sales of the Obalon Balloon System in the territories.
"This exclusive agreement with Biorad represents
the first step towards reintroducing our patented Obalon Balloon System technology to the global marketplace," stated Paul F. Hickey,
President and Chief Executive Officer of ReShape Lifesciences. "We believe that Biorad, with decades of experience manufacturing
and distributing medical devices in the vast South Asia market, potentially reaching approximately 20% to 25% of the world's population,
is an ideal partner to expand the reach of ReShape's Obalon technology. Our non-surgical, minimally invasive, Obalon System was
the first swallowable, gas filled balloon system approved by the U.S. Food and Drug Administration, around which we continue to build
a strong intellectual property portfolio. We look forward to a fruitful partnership with Biorad, which we expect will lay the groundwork
to catalyze the successful relaunch and joint commercialization of the balloon system in markets world-wide."
About ReShape Lifesciences
ReShape Lifesciences is America's
premier weight loss and metabolic health-solutions company, offering an integrated portfolio of proven products and services that manage
and treat obesity and metabolic disease. The FDA-approved Lap-Band System provides minimally invasive, long-term treatment
of obesity and is an alternative to more invasive surgical stapling procedures such as the gastric bypass or sleeve gastrectomy. ReShapeCare
is a virtual weight-management program that supports lifestyle changes for all weight loss patients led by board-certified health coaches
to help them keep the weight off over time. ReShape Marketplace is an online collection of quality wellness products curated for
all consumers to help them achieve their health goals. The investigational Diabetes Bloc-Stim Neuromodulation (DBSN ) system
utilizes a proprietary vagus nerve block and stimulation technology platform for the treatment of Type 2 diabetes and metabolic disorders.
The Obalon balloon technology is a non-surgical, swallowable, gas-filled intra-gastric balloon that is designed to provide
long-lasting weight loss. For more information, please visit www.reshapelifesciences.com.
Forward-Looking Safe Harbor Statement
This press release may contain forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those
discussed due to known and unknown risks, uncertainties, and other factors. These forward-looking statements generally can be identified
by the use of words such as "expect," "plan," "anticipate," "could," "may," "intend,"
"will," "continue," "future," other words of similar meaning and the use of future dates. Forward-looking
statements in this press release include the statements regarding our expectations for the successful relaunch of the Obalon Balloon
technology. These and additional risks and uncertainties are described more fully in the company's filings with the Securities and Exchange
Commission, including those factors identified as "risk factors" in our most recent Annual Report on Form 10-K and subsequent
Quarterly Reports on Form 10-Q. We are providing this information as of the date of this press release and do not undertake any
obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise,
except as required by law.
ReShape Lifesciences Investor Contact:
Chief Financial Officer
Investor Relations Contact:
Rx Communications Group

Frequently Asked Questions

What is the Obalon Gastric Balloon System?

The Obalon Gastric Balloon System is a non-surgical, swallowable, gas-filled balloon designed for weight loss.

Which regions are covered by the license agreement?

The agreement covers India, Pakistan, Bangladesh, Nepal, Bhutan, Sri Lanka, and the Maldives.

What payments does Biorad make to ReShape?

Biorad makes $200,000 in upfront payments and ongoing 4% royalties on gross sales.

Who is partnering with ReShape Lifesciences?

Biorad Medisys, a medical device manufacturer based in Mumbai, is the partner.

What is the goal of this partnership?

The partnership aims to relaunch and commercialize the Obalon technology globally.

Last updated: Sep 21, 2023