The telehealth platform Hims & Hers, which targets millennial consumers, announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, known for its diabetes and obesity treatments, 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 Hims & Hers, stating, “This company is on a path to revolutionize the healthcare industry. Throughout my extensive career in pharmaceuticals, I have not seen a company effectively utilizing modern tools to eliminate barriers and transform how individuals access essential health solutions. I’m excited to be part of this journey.”
Following the announcement, Hims & Hers shares rose by 3% during morning trading, with the company’s stock up 125% since the start of the year.
This news follows Hims & Hers’ recent launch of a compounded version of semaglutide, the active ingredient in the widely-used diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk.
Hims & Hers is offering a month’s supply of the weight loss drug for $199, significantly cheaper than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 cost.
The ongoing shortage of these sought-after brand name medications has prompted several telehealth companies to utilize a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded versions when medications are in short supply.
Compounding involves the customization of an approved drug by a licensed pharmacist or physician to meet the specific needs of a patient.
While the Food, Drug, and Cosmetic Act typically restricts the compounding of drugs that are simply replicas of commercially available medications, drugs deemed in shortage are not classified as commercially available according to the U.S. Food and Drug Administration (FDA).
In an interview with Bloomberg on Monday, Schultz conveyed confidence in the company’s future of offering compounded semaglutide. He stated that he is not concerned about the availability of compounded semaglutide post-shortage, as there will always be circumstances where patients require individualized prescriptions.