Obalon Announces Repayment of All Long-Term Debt and Regaining of Compliance with NASDAQ Listing Requirement
October 03 2019 - 9:00AM
Obalon Therapeutics, Inc. (NASDAQ:OBLN), a San Diego-based
company focused on commercializing the Obalon Balloon System, the
first and only FDA-approved swallowable, gas-filled
intra-gastric balloon for weight loss, announces that it has
retired the remaining $5 million of its long-term debt facility
with Pacific Western Bank. In addition to removing the risks and
restrictions of carrying long-term debt, the debt payoff eliminates
interest expense of approximately $350,000 annually. Separately,
the Company announced in an 8-K filing with the SEC today that it
believes it has regained compliance with NASDAQ Listing Rule
5450(b)(1)(A) by increasing its stockholder’s equity above the
minimum required for continued listing.
“We are pleased to continue to transform the Company’s financial
position and believe that with no long-term debt and our current
cash position we are well-positioned to drive our strategy to bring
the Obalon Balloon System to patients in need of a proven weight
loss solution,” said William J. Plovanic, President and Chief
Financial Officer of Obalon. “We remain focused on converting
consumer interest in our novel FDA-approved balloon system into
patient treatments and successful weight loss experiences, and we
are looking forward to the first patient treatments at our
Company-owned and managed Obalon Center for Weight Loss.”
About Obalon Therapeutics, Inc. Obalon
Therapeutics, Inc. (NASDAQ:OBLN) is a San Diego-based company
focused on developing and commercializing novel technologies for
weight loss. For more information, please
visit www.obalon.com.
Forward-Looking Statements
To the extent that statements contained in this
press release are not descriptions of historical facts regarding
Obalon Therapeutics, they are forward-looking statements reflecting
the current beliefs and expectations of management made pursuant to
the safe harbor of the Private Securities Reform Act of 1995. Such
forward-looking statements involve substantial risks and
uncertainties that could cause Obalon Therapeutics' future results,
performance or achievements to differ significantly from those
expressed or implied by the forward-looking statements. Obalon
Therapeutics undertakes no obligation to update or revise any
forward-looking statements. For a description of the risks and
uncertainties that could cause actual results to differ from those
expressed in these forward-looking statements, as well as risks
relating to Obalon Therapeutics' business in general, please refer
to Obalon Therapeutics’ annual report on Form 10-K filed with the
Securities and Exchange Commission on February 22, 2019, Form 10-Q
filed with the Securities and Exchange Commission on July 24, 2019,
and its future periodic reports filed with the Securities and
Exchange Commission.
For Obalon Therapeutics, Inc.
Investor Contact: William Plovanic President & Chief
Financial Officer Obalon Therapeutics, Inc. Office: +1 760 607
5103wplovanic@obalon.com
Obalon Therapeutics, Inc.
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