Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the appointment of Kåre Schultz, a former executive from Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at Novo Nordisk, a company recognized for its diabetes and obesity treatments, where he held various positions including president and chief operating officer. Currently, he serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining Hims & Hers, stating, “Hims & Hers is on a trajectory to upend the healthcare 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.”
Following the announcement, Hims & Hers shares rose by 3% in morning trading and have increased by 125% since the start of the year.
This development comes on the heels of Hims & Hers introducing a compounded version of semaglutide, the key ingredient in popular diabetes and weight loss drugs such as Ozempic and Wegovy, both produced by Novo Nordisk. Hims & Hers is offering a month’s supply of this weight loss medication for $199, significantly less than Ozempic’s nearly $1,000 retail price and Wegovy’s $1,349 price.
The current supply constraints on these in-demand and costly brand-name drugs have prompted various telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications in shortages. Compounding involves customizing an approved drug by a licensed pharmacist or physician to cater to the specific needs of individual patients.
Normally, the Act restricts the compounding of medications that mimic commercially available ones. However, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
Schultz conveyed to Bloomberg on Monday that the company foresees a “long future” in providing compounded semaglutide. He also indicated that he is not concerned about the ability of pharmacies to continue producing compounded semaglutide once the shortages are resolved, as individualized prescriptions would still be necessary for some patients.