Hims & Hers, a telehealth platform targeting millennials, made a significant announcement on Monday, revealing the addition of Kåre Schultz to its board of directors. Schultz is a seasoned veteran in the pharmaceutical industry with over 25 years of experience at Novo Nordisk, a leading company known for its diabetes and obesity medications. He currently 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. In my long career, 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 passion for the company and belief in its mission is a promising indicator of Hims & Hers’ potential in the healthcare sector.
Following the announcement, Hims & Hers experienced a 3% increase in stock price, continuing a remarkable surge of 125% since the year began. This growth aligns with the company’s recent expansion into offering compounded versions of semaglutide, the active ingredient in popular drugs like Ozempic and Wegovy, both manufactured by Novo Nordisk. The compounded version is priced at $199 per month, significantly lower than the list prices of its brand-name counterparts, which range from approximately $1,000 to $1,349.
The rise in interest and stock price is partly driven by the limited availability of these brand-name drugs, which has led several telehealth platforms to leverage a provision in the Food, Drug, and Cosmetic Act allowing the sale of compounded drugs in cases of shortage. Compounding enables pharmacists to customize medications according to individual patient needs, a process permitted under certain conditions by the U.S. Food and Drug Administration (FDA).
Schultz has indicated to Bloomberg that Hims & Hers sees a long-term future in providing compounded semaglutide, suggesting that the need for personalized medications will continue even beyond current shortages.
This development reflects the innovative spirit of Hims & Hers as it strives to enhance access to affordable healthcare solutions.
In summary, the addition of Kåre Schultz to Hims & Hers’ board, coupled with its expansion into compounded medications, positions the company strategically for further success in the evolving telehealth landscape. His experience and insights could lead to transformative changes in how healthcare services are accessed and delivered, ultimately benefiting future patients. This progressive approach highlights a hopeful trend towards more affordable healthcare solutions.