TransEnterix Inc (NYSEAMERICAN: TRXC) is having an overwhelmingly strong day in the market today, and for good reason. It seems as though investors are reacting to the news that was released, late Friday, surrounding the company’s SenhanceTM Surgical Robotic System. Before we get into the details, we’d like to extend a thank you to our partners at Trade Ideas for being the first to alert us to the gains. At the moment (11:25), TRXC is trading at $2.42 per share after a gain of $0.96 per share (65.75%) thus far today.
TRXC Gains On FDA News
As mentioned above, TransEnterix is having an overwhelmingly strong start to the trading session this morning after the company announced on Friday that the FDA has provided 510(k) clearance surrounding its Senhance Surgical Robotic System.
As a result of the clearance, TRXC now boasts the first new market entrant into the field of abdominal surgical robotics since the year 2000. To use the system, a surgeon directs small surgical instruments and a camera with precise movements and comfort. Senhance builds on the foundation of Laparoscopy and features the security of haptic feedback and eye-sensing camera control. This is the first time this has been seen in a robotic surgery platform.
Furthermore, the Senhance platform takes advantage of an open architecture platform. This will allow hospitals and surgeons to leverage existing technology investments in conjunction with this platform for a synchronized operating room ecosystem. The system was specially engineered to manage operative costs efficiently, helping to make robotic surgery cost-effective on a per-procedure basis through the use of fully reusable instruments. In a statement, Todd M. Pope, President and CEO at TRXC, had the following to offer:
“The clearance of the Senhance System in the US is a milestone in the progress of robotics and is expected to deliver improvement in the efficacy, value and choices offered to patients, surgeons and hospitals… Millions of surgical procedures in the US are performed each year laparoscopically with basic manual tools that limit surgeons’ capability, comfort and control. New choices are needed that enhance the senses, control and comfort of the surgeon, minimize the invasiveness of surgery for the patient, and maximize the value for the hospital. Senhance is this new choice.”
Following the statement above, Dr. Steve Eubanks, a general surgeon and Executive Director of Academic Surgery at Florida Hospital, had the following to say:
“Surgeons are approaching the boundaries of minimally invasive care performed with handheld manual instruments and cameras, and are seeking new technologies that will allow us to advance beyond these boundaries…The future will be driven by the appropriate use of robotics and information tools in the operating room. The Senhance platform grants laparoscpic surgeons robotic precision, control of our vision, and haptic feedback while minimizing procedural costs, and is a welcome revolution in our field.”
Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on TRXC. In particular, we’re interested in following the company to see the revenue generation following the 510(k) approval. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!