ReShape Lifesciences® Receives Notice of Allowance for Additional U.S. Patent Related to an Intragastric Balloon System
- ReShape Lifesciences receives a Notice of Allowance from the USPTO for patent application 18/370,819 titled 'Intragastric Device'.
- The patent covers claims for an intragastric balloon system with specific features like a capsule, balloon, fill valve, and release valve.
- The patent will provide protection until at least January 2031, with a potential for a Patent Term Extension (PTE).
- ReShape Lifesciences has secured over 50 patents related to the intragastric balloon system and has an extensive family of over 160 patents issued and pending for various inventions.
- The company aims to build a defensive 'moat' around its product portfolio, innovation, and commercialization efforts to protect its position in the market.
- ReShape Lifesciences is prepared to take offensive action to defend its position using non-diluting funding.
- None.
The notice of allowance for ReShape Lifesciences' intragastric device patent represents a significant bolstering of the company's intellectual property (IP) assets. In the sphere of medical devices, patents are a critical defensive mechanism that can prevent competitors from encroaching on proprietary technology. By securing a patent that extends protection into at least 2031, ReShape is not only safeguarding its current product lineup but also ensuring a competitive edge in the market for the next several years.
From a legal standpoint, the company's strategy to build a 'moat' around its product portfolio through IP is a common practice among technology-driven firms. It's indicative of a proactive approach to IP management, which can be a key differentiator in the healthcare sector. Additionally, the mention of 'non-diluting funding' for potential offensive actions to defend their position suggests that the company is looking to avoid equity financing for litigation purposes, which could be favorable for current shareholders as it prevents the dilution of their holdings.
The market impact of ReShape Lifesciences' expanded patent portfolio should not be underestimated. The intragastric balloon system is part of a growing segment in the weight loss and metabolic health industry, which is seeing increasing demand due to rising global obesity rates. The unique features of the patent, such as the degradable capsule and separate fill and release valves, may offer competitive advantages that could translate into increased market share and potentially higher revenues.
Investors should be aware that the patent's longevity into 2031 provides a long runway for ReShape to capitalize on its R&D investments. Furthermore, with over 50 patents secured and an additional 160 issued and pending, the company is demonstrating a commitment to innovation and market leadership. This extensive patent portfolio could be attractive to potential partners or acquirers, making ReShape a notable player in the medical device industry.
ReShape Lifesciences' announcement concerning the new patent allowance has direct implications for its financial outlook. By protecting their intragastric balloon system with a robust patent, they are effectively securing a revenue stream that is less likely to be eroded by competitor products. This can lead to more predictable future cash flows, which is a positive signal for investors.
The company's emphasis on using non-diluting funding methods to defend its IP suggests a management team that is mindful of shareholder value. This strategy could result in a stronger balance sheet over time, as it avoids the potential downsides of equity financing. However, investors should also consider the costs associated with maintaining and defending such a large patent portfolio, as these can be substantial and could impact net income.
Patent Significantly Strengthens Intellectual Property Portfolio
IRVINE, Calif., March 28, 2024 (GLOBE NEWSWIRE) -- ReShape Lifesciences® (Nasdaq: RSLS), the premier physician-led weight loss and metabolic health-solutions company, today announced that the company has received a Notice of Allowance from the U.S. Patent and Trademark Office (USPTO) for patent application 18/370,819, entitled, “Intragastric Device.” When issued, the patent will cover claims for an intragastric balloon system, comprising a capsule configured to be swallowable by a patient and to degrade in a gastric environment, with a balloon compacted and contained within the capsule, the balloon including an outer and inner surface, an interior cavity, a fill valve and release valve wherein the fill valve and release valves are separate valves, among other claim features. Once issued, the patent will provide protection into at least January 2031, without accounting for a potential Patent Term Extension (PTE).
“Allowance of this patent significantly strengthens our intellectual property portfolio around our innovations for an intragastric balloon system and is a significant accomplishment, ensuring comprehensive protection,” stated Paul F. Hickey, President and Chief Executive Officer of ReShape Lifesciences. “Since the initial filing of our patent application in 2011, we have secured over 50 patents around the intragastric balloon system and ReShape has an extensive family of over 160 patents issued and pending for a wide range of new and protected inventions. Going forward, we will continue to build a defensive ‘moat’ around our product portfolio, innovation and commercialization efforts. When necessary, we will take offensive action to defend our position utilizing non-diluting funding.”
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. 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 statements about our future intellectual property protection measures. 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.
CONTACTS
ReShape Lifesciences Investor Contact:
Paul F. Hickey
President and Chief Executive Officer
949-276-7223
ir@ReShapeLifesci.com
Investor Relations Contact:
Rx Communications Group
Michael Miller
917-633-6086
mmiller@rxir.com
FAQ
What patent did ReShape Lifesciences receive a Notice of Allowance for?
What will the patent cover for the intragastric balloon system?
Until when will the patent provide protection?
How many patents has ReShape Lifesciences secured related to the intragastric balloon system?
What is the company's strategy regarding its intellectual property portfolio?
How is ReShape Lifesciences prepared to defend its position?
