Telehealth platform Hims & Hers announced on Monday the addition of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors.
Schultz has a rich history in the pharmaceutical industry, having spent over 25 years at Novo Nordisk, where he held various positions, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for 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.”
On the day of the announcement, Hims & Hers’ stock rose by 3%, marking a 125% increase since the beginning of the year. This development follows the company’s recent introduction of a compounded version of semaglutide, the key ingredient in popular diabetes and weight loss medications, Ozempic and Wegovy, both produced by Novo Nordisk.
Hims & Hers offers a month’s supply of its weight loss medication at $199, which is significantly cheaper compared to Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349.
The current shortage of these high-demand drugs has led several telehealth companies to utilize a portion of the Food, Drug, and Cosmetic Act that permits the sale of compounded drugs when standard versions are in short supply. Compounding involves customizing a licensed drug to meet individual patient needs.
Typically, the Act restricts pharmacists from compounding drugs that replicate commercially available medications; however, the FDA does not classify drugs in shortage as commercially available.
On Monday, Schultz indicated that the company sees a “long future” in the sale of compounded semaglutide. When questioned about the continuation of compounded semaglutide production post-shortage, Schultz conveyed confidence, emphasizing ongoing patient needs for individualized prescriptions.