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 brings over 25 years of experience from the Danish pharmaceutical company renowned for its diabetes and obesity treatments, having held various leadership positions, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a statement, Schultz expressed enthusiasm for 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. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers’ stock rose 3% in morning trading, marking a 125% increase since the start of the year.
This development comes just months after Hims & Hers began offering compounded semaglutide, the active ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. The company is selling a month’s supply of the weight-loss drug for $199, significantly less than Ozempic’s near $1,000 price and Wegovy’s $1,349.
The scarcity of these high-demand medications has encouraged several telehealth providers to utilize a provision in the Food, Drug, and Cosmetic Act that allows for the sale of compounded versions of drugs that are in shortage. Compounding involves personalizing an approved medication by a licensed pharmacist or physician to fit the specific requirements of a patient.
Generally, the Act restricts compounding drugs that simply replicate commercially available medications. However, the U.S. Food and Drug Administration (FDA) does not classify medications in shortage as commercially available.
In an interview with Bloomberg on Monday, Schultz stated that the company has a promising future in the sale of compounded semaglutide. He reassured that even after shortages are resolved, there will still be instances where patients require tailored prescriptions.