Hims & Hers, a telehealth platform targeting millennials, announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at the Danish pharmaceutical company, noted for its diabetes and obesity medications, where he held various high-level positions including president and chief operating officer. He is currently the CEO of Teva Pharmaceutical.
“Hims & Hers is on a trajectory to transform the healthcare industry,” Schultz stated in a press release. “In my extensive career in the pharmaceutical sector, this is the first company that truly utilizes modern tools to dismantle barriers and revolutionize how individuals access necessary health solutions for their well-being. I’m excited to contribute to this endeavor.”
Following the announcement, Hims & Hers stock experienced a 3% increase in early trading. The company’s shares have surged 125% since the start of the year.
This news arrives just months after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in the well-known diabetes and weight loss medications Ozempic and Wegovy, both produced by Novo Nordisk. Hims & Hers is providing a month’s supply of the weight loss medication for $199, significantly lower than the nearly $1,000 list price for Ozempic and $1,349 for Wegovy.
The limited availability of these sought-after brand-name drugs has led various telehealth platforms to take advantage of a provision in 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 address the specific needs of individual patients.
While the Food, Drug, and Cosmetic Act generally prohibits compounding medications that replicate commercially available drugs, the U.S. Food and Drug Administration (FDA) does not classify drugs that are in shortage as commercially available.
On Monday, Schultz expressed confidence in the company’s long-term prospects for selling compounded semaglutide. When questioned about whether pharmacies would still be able to create compounded semaglutide after the shortages are resolved, Schultz indicated he was not concerned, as there will still be instances where patients require personalized prescriptions.