Telehealth platform Hims & Hers announced on Monday the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz has an extensive background, spending over 25 years at Novo Nordisk, where he held various roles, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
“Hims & Hers is on a trajectory to upend the healthcare industry,” Schultz stated in a press release. “In my long career in the pharmaceutical sector, I’ve never seen a company exploit modern tools to effectively dismantle barriers and transform how people access the health solutions they need to live their best lives. I’m excited to be part of this journey.”
Following the announcement, Hims & Hers shares rose by 3% during Monday morning trading, marking a 125% increase since the beginning of the year.
This news comes shortly after Hims & Hers began providing a compounded version of semaglutide, the active ingredient in well-known diabetes and weight loss medications Ozempic and Wegovy, which are manufactured by Novo Nordisk. The telehealth company offers a month’s supply of the weight loss medication for $199, significantly less than Ozempic’s almost $1,000 list price and Wegovy’s $1,349 cost.
The scarcity of these popular medications has led numerous telehealth providers to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of drugs that are in shortage. Compounding involves customizing an approved medication by a state-licensed pharmacist or physician to fit the unique needs of a patient.
Typically, the Food, Drug, and Cosmetic Act prohibits compounding medications that mimic commercially available options. However, medications in shortage are not classified as commercially available by the U.S. Food and Drug Administration (FDA).
Schultz informed Bloomberg on Monday that Hims & Hers sees a “long future” in offering compounded semaglutide. When questioned about whether pharmacies could continue making compounded semaglutide after shortages resolve, Schultz expressed confidence that there would still be instances where patients require personalized prescriptions.