By the editors of The Entrepreneur [1].
Allurion Technologies has been listed on the New York Stock Exchange since last week. The company developed a gastric balloon that can achieve permanent weight loss but is inserted without going under the knife. For the Allurion Clinic, founded by Dutch entrepreneur Nick van Lanschot and bariatric surgeon Edo Aarts, this marks the start of further growth in the Benelux.
Allurion Technologies, founded by Sammy Levy and Shantanu Gaur, offers a solution for individuals with a BMI from 27 to 38 who are unable to lose weight long-term, do not qualify for surgery or do not want to go under the knife. With an ingestible gastric balloon that does not involve surgery, endoscopy or anesthesia, the company offers a non-invasive method by which clients lose an average of 10 to 15 percent of their body weight in 16 weeks. The method has since helped 100,000 people in 50 countries.
To accelerate the concept to market, several international partnerships were formed in the first years of existence. For the Benelux, they joined forces with experienced entrepreneur in the medical world, Nick van Lanschot, and bariatric surgeon, Edo Aarts. They established the Allurion Clinic in 2020 as the primary provider of the weight loss method in the Netherlands. Since then, more than 1,400 patients have been helped with the program, which consists of the gastric balloon, physician guidance, lifestyle coaches, bluetooth scale and health tracker. This makes the Allurion Clinic one of four key players in Allurion Technologies’ growth.
”The IPO represents an important milestone for the company and a way to reinforce Allurion’s mission to end obesity.”
Nick van Lanschot, co-founder Allurion Clinic
Further investments to make the product even better
Nick van Lanschot: ,,The IPO represents an important milestone for the company and a way to reinforce Allurion’s mission to end obesity, with Edo and playing a major role in its further realization in the Benelux. We see the IPO as the starting signal for further investments to make the product even better and help even more individuals with substantial and lasting weight loss.”
,,There is no shortage of growth opportunities. Overweight and obesity is unfortunately still a major problem. More than 25 percent of the global population suffers from it, and the number of obese children and adolescents has actually increased tenfold over the past four decades. The Netherlands is no exception to this with 64 percent of the population overweight.”
Funding raised through private investment in public stock
The rapid geographic expansion into the Benelux, as well as Canada, Mexico, India, Australia and Brazil, made Allurion Technologies’ revenues increase from $20 million in 2020, $38 million in 2021 and $64 million in 2022.
Concurrent with the IPO, funding was raised through a private public equity investment (PIPE) led by RTW Investments and additional equity investments from former ceo and chairman of Medtronic Omar Ishrak, former GE ceo Jeff Immelt, Leavitt Equity Partners, Naghi Group vice chairman Yasser Naghi, and existing Allurion investors including Novalis LifeSciences and Segulah Medical Acceleration and Medtronic. Finally, a loan was provided by a subsidiary of Fortress Investment Group and Chardan Equity.
[1] (2023, Aug. 7). Dutch touch to success: Allurion Technologies to New York Stock Exchange. The Entrepreneur.
