The news sent GID shares up 6.7% to $1.11 as of about 3:30 p.m. today.
"This is an important milestone for our company and for clinicians and patients in Australia, who now have access to a new, non-surgical treatment option for Type II diabetes and/or obesity," president & CEO Stuart Randle said in prepared remarks.
The patients were treated at the Epworth Centre for Bariatric Surgery, which last month became GI Dynamic’s 1st Center of Excellence for its flagship EndoBarrier gastrointestinal liner.
The EndoBarrier is a plastic gut-lining sleeve that hangs from the outlet of the stomach and lines the small intestine. It’s designed to slow the uptake of nutrients to effect weight loss, and has been shown in small clinical trials to also mitigate the symptoms of diabetes.
The device, which is on the market in the U.K., Netherlands, Austria, Germany and Chile, has been reviewed in 13 clinical trials across more than 500 patients, according to a press release.
GI Dynamics said it’s hoping this year to begin clinical trials of its EndoBarrier gastrointestinal liner in the U.S., launch commercial sales "in a select number of new countries," and add more Centers of Excellence.
The company went public in September 2011, netting nearly $80 million (A$74 million) in an initial public offering on the Australian stock exchange.