Hims & Hers, a telehealth platform popular among millennials, announced on Monday the appointment of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors.
Schultz has spent over 25 years with the renowned Danish pharmaceutical company, known for its diabetes and obesity treatments, holding various positions including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining Hims & Hers, stating, “This company is on a path to transform the healthcare landscape. Throughout my extensive career in the pharmaceutical industry, I have never encountered a company that truly utilizes modern tools to dismantle barriers to healthcare access in the way Hims & Hers does. I am excited to be part of this journey.”
Following the announcement, Hims & Hers saw its stock rise by 3% in morning trading, marking a 125% increase since the start of the year.
This development comes shortly after Hims & Hers began offering customers a compounded version of semaglutide, the active ingredient found in well-known diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is pricing a month’s supply of this weight loss medication at $199, significantly lower than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 price.
The high demand and limited supply of these expensive brand-name drugs have led numerous telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications in shortage.
Compounding entails customizing an approved drug by a licensed pharmacist or physician to address the specific needs of a patient. Although the act generally prohibits compounding drugs simply as copies of available medications, medications deemed in shortage by the U.S. Food and Drug Administration (FDA) are not classified as commercially available.
In an interview with Bloomberg, Schultz indicated that Hims & Hers has a “long future” in the market for compounded semaglutide. When questioned about the future of compounded semaglutide once shortages cease, Schultz expressed confidence, emphasizing that there will still be instances requiring individualized prescriptions for patients.