Hims & Hers, a telehealth platform targeting millennials, announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors. Schultz, who has over 25 years of experience at the Danish pharmaceutical company, where he held various leadership roles including president and COO, is currently the CEO of Teva Pharmaceutical.
In a statement, Schultz expressed enthusiasm for joining Hims & Hers, stating, “Hims & Hers is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical 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. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers stock rose by 3% during morning trading and has increased by 125% since the start of the year.
This development comes shortly after the company began offering a compounded version of semaglutide—a key ingredient in popular diabetes and weight-loss medications Ozempic and Wegovy, both produced by Novo Nordisk. Hims & Hers is selling a month’s supply of the weight loss medication for $199, significantly lower than the nearly $1,000 price tag for Ozempic and $1,349 for Wegovy.
The demand for these expensive brand-name drugs has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications that are in shortage. Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet the specific needs of a patient.
Under normal circumstances, the Act restricts the compounding of drugs that merely replicate commercially available medications. However, medications classified as being in shortage are not considered commercially available by the U.S. Food and Drug Administration (FDA).
Schultz also commented to Bloomberg about the company’s potential in selling compounded semaglutide in the future, stating that there would still be a need for individualized prescriptions even after shortages are resolved.