Hims & Hers, a telehealth platform catering to millennials, announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at Novo Nordisk, a company renowned for its diabetes and obesity medications, where he held various positions including president and chief operating officer. Currently, he is the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm about joining Hims & Hers, 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. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers saw its stock rise by 3% during morning trading, marking a remarkable 125% increase since the start of the year.
This development comes a few months after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in the renowned diabetes and weight loss medications Ozempic and Wegovy, which are manufactured by Novo Nordisk. The company is selling a month’s supply of the weight loss medication for $199, significantly less than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 cost.
The scarcity of these sought-after and pricey brand-name drugs has prompted several telehealth platforms to utilize a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications that are in short supply. Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet individual patient needs.
While the Food, Drug, and Cosmetic Act generally prohibits the compounding of drugs that are merely copies of commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
Schultz also mentioned to Bloomberg on Monday that Hims & Hers has a “long future” ahead in offering compounded semaglutide. When inquired whether pharmacies would still have the capability to compound semaglutide after the shortages resolve, he reassured that individualized prescriptions would still create demand.