Why ReShape Lifesciences Jumped After-Hours

ReShape Lifesciences, Inc. RSLS shares are trading higher after the company announced it received FDA PMA supplement approval for its next-generation Lap-Band 2.0 FLEX.

What To Know: Shares of the stock surged nearly 70% following the announcement that the U.S. Food and Drug Administration (FDA) granted approval for a PMA supplement for the company's Lap-Band 2.0 FLEX.

"PMA supplement approval for our next generation Lap-Band 2.0 FLEX is a historic event for ReShape that is expected to be a key growth catalyst for the company's Lap-Band franchise," stated Paul F. Hickey, president and CEO of ReShape Lifesciences.

"The enhanced Lap-Band 2.0 FLEX development effort was physician-led with the goal of improving the patient experience. Compared to our current Lap-Band, the Lap-Band 2.0 has a new feature called FLEX Technology, which acts as a relief valve, allowing larger pieces of food to more easily pass through the narrowed passage (or stoma), created by the band."

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RSLS Price Action: Shares of RSLS were up 33.63% at $0.34 in the after-hours session Tuesday at the time of publication, according to Benzinga Pro. 

Photo: Darko Stojanovic from Pixabay