The telehealth platform Hims & Hers, which primarily appeals to millennials, recently announced the appointment of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors. This move, revealed on Monday, reflects the company’s ambition to reshape healthcare as it currently exists.
Schultz brings over 25 years of experience from Novo Nordisk, where he held several prestigious positions, including president and chief operating officer. He now serves as the CEO of Teva Pharmaceutical. In a statement, Schultz expressed enthusiasm for Hims & Hers’ potential, stating, “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.” His excitement about joining the company signals a strong commitment to Hims & Hers’ mission of improving health accessibility.
In the wake of this news, Hims & Hers saw a 3% increase in its stock during Monday’s morning trading session, marking a remarkable 125% rise in share value since the beginning of the year.
This announcement comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in well-known diabetes and weight loss medications, Ozempic and Wegovy, both produced by Novo Nordisk. The telehealth pioneer is providing a month’s supply of this weight loss treatment at $199, significantly lower than the nearly $1,000 cost of Ozempic and $1,349 for Wegovy.
The growing demand for these expensive brand-name drugs has led some telehealth companies to leverage a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications in cases of shortage. Compounding involves customizing an approved drug to meet the unique needs of individual patients, carried out by a licensed pharmacist or physician. Although typically, compounding drugs that are mere replicas of commercial products is prohibited, the FDA does not consider drugs that are in shortage as commercially available.
Schultz noted that he sees a bright future for Hims & Hers in the realm of compounded semaglutide, and when asked about the sustainability of compounded semaglutide after shortages are resolved, he expressed confidence that there will still be instances requiring personalized prescriptions.
In summary, Hims & Hers is making strategic advancements in the healthcare sector by appointing experienced executives and providing accessible alternatives to high-cost medications, which positions the company as a potential leader in telehealth innovation. This trajectory not only promises to enhance patient access to necessary health solutions but also exemplifies a shift in how modern healthcare can operate more efficiently, benefitting consumers in the long run.