The telehealth platform Hims & Hers announced the addition of Kåre Schultz to its board of directors on Monday. Schultz is a seasoned executive, having spent over 25 years at Novo Nordisk, where he held various roles, including president and chief operating officer. He is currently serving as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for the company’s mission, 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 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 shares rose by 3% during morning trading, reflecting a significant increase of 125% since the beginning of the year.
This announcement comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient found in popular diabetes and weight loss medications like Ozempic and Wegovy, both manufactured by Novo Nordisk. The company sells a month’s supply of the weight loss medication for $199, significantly lower than the list prices of Ozempic at nearly $1,000 and Wegovy at $1,349.
The high demand for these expensive brand-name drugs has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications in shortage. Compounding is performed by state-licensed pharmacists or physicians to tailor an existing drug to the specific needs of individual patients.
Typically, the Food, Drug, and Cosmetic Act restricts the compounding of drugs that replicate commercially available medications. However, medications deemed to be in shortage are not classified as commercially available by the U.S. Food and Drug Administration (FDA).
In comments to Bloomberg, Schultz affirmed that Hims & Hers sees a “long future” in providing compounded semaglutide. When questioned about the availability of compounded semaglutide following the end of shortages, Schultz noted that he remained confident due to ongoing needs for individualized prescriptions among patients.