Here’s everything investors in OBLM stock and RSLS stock need to know about the ReShape-Obalon merger.
- An all-stock merger will have the two companies combining with RSLS shareholders owning a majority of the new company.
- This will also see Obalon Therapeutics renamed to ReShape Lifesciences and the OBLN stock ticker changed to RSLS.
- This will have the shares of RSLS stock trading on the Nasdaq Exchange.
- To go along with this, the current directors and executives at ReShape Lifesciences will serve as leaders of the combined company.
- The merger agreement already has unanimous support from both companies’ Boards of Directors.
- Obalon Therapeutics and ReShape Lifesciences still need to complete customary closing conditions before the deal is complete.
- That includes getting approval from holders of OBLN stock and RSLS stock, as well as from regulators.
- The companies don’t provide a period for when they expect the merger to close.
- Obalon Therapeutics and ReShape Lifesciences both focus on weight loss products.
- OBLN’s leading product is a weight loss balloon.
- This comes in the form of capsules that patients swallow that then inflate in their stomachs.
- The balloons keep the person from eating too much and promote healthy eating habits to help them lose weight.
OBLN stock was up 301.9% and RSLS stock was up 25% as of Wednesday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.