Hims & Hers, a telehealth platform catering to millennials, has appointed Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors. Schultz possesses over 25 years of experience at the well-known pharmaceutical company, with significant roles including president and chief operating officer. Currently, he is the CEO of Teva Pharmaceutical.
In a recent press release, Schultz expressed enthusiasm about joining Hims & Hers, stating, “Hims & Hers is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical industry, this is the first company I have seen leveraging modern tools to break down barriers and transform access to health solutions.” His insightful perspective highlights the innovative path Hims & Hers is pursuing in the healthcare sector.
Following the announcement, shares of Hims & Hers saw a 3% increase during morning trading, bringing the year-to-date increase to a remarkable 125%. This boost in stock prices reflects growing investor confidence in the company’s future.
The timing of this appointment aligns with Hims & Hers’ recent launch of a compounded version of semaglutide, the active component in popular diabetes and weight-loss medications, Ozempic and Wegovy, which are both manufactured by Novo Nordisk. The telehealth company offers a one-month supply of this weight loss drug for $199, a fraction of the cost compared to Ozempic’s nearly $1,000 price and Wegovy’s $1,349 retail price.
The current shortage of these high-demand medications has prompted Hims & Hers and other telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, permitting the sale of compounded medications that are in limited supply. Compounding allows state-licensed pharmacists or physicians to tailor medications to suit individual patient needs.
Although typically, the law restricts drug compounding that mirrors commercially available medications, those deemed in shortage by the FDA are exceptions. Schultz indicated to Bloomberg that Hims & Hers intends to maintain its focus on compounded semaglutide for the foreseeable future, reassuring that even once supply issues resolve, there will remain situations necessitating personalized prescriptions.
This strategic move demonstrates Hims & Hers’ commitment to innovating healthcare access while addressing the needs of patients seeking affordable medication options. The company’s proactive approach, combined with Schultz’s extensive experience in the industry, signals a promising future for both Hims & Hers and its customers.
The positive implications of this announcement could lead to improved healthcare accessibility for many individuals, as telehealth continues to evolve and meet the challenges of the current healthcare landscape.