Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the appointment of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, which is well-known for its diabetes and obesity treatments. He has held various positions there, including president and chief operating officer, and is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for joining Hims & Hers, stating that the company is on a path to transform the healthcare industry. He highlighted the company’s innovative approach, stating, “In my long career in the pharmaceutical industry, this is the first company I have seen that is leveraging today’s modern tools to truly break down barriers and change the status quo of how people access the health solutions they need to live their fullest lives. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers stock saw a 3% increase during Monday morning trading, with shares up 125% since the start of the year.
The news arrives shortly after Hims & Hers began offering compounded semaglutide, a medication used for diabetes and weight loss, which is the active ingredient in Novo Nordisk’s well-known drugs Ozempic and Wegovy. Hims & Hers is pricing a month’s supply of this weight loss medication at $199, significantly lower than Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349 price.
The high demand and limited availability of these brand-name drugs have prompted several telehealth platforms to utilize a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded medications that are in short supply. Compounding allows licensed pharmacists or physicians to create customized versions of approved drugs for individual patient needs.
Although the Food, Drug, and Cosmetic Act typically restricts the compounding of medications that are simply replicas of commercially available products, the U.S. Food and Drug Administration (FDA) does not classify drugs that are in shortage as commercially available.
Schultz told Bloomberg that the company envisions a “long future” in providing compounded semaglutide. He also expressed confidence that pharmacies would continue to produce compounded semaglutide even after the shortages are resolved, due to ongoing needs for individualized prescriptions.