Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the appointment of Kåre Schultz, a former executive with 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, where he held various senior roles, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, 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 saw a 3% increase in morning trading, marking a total rise of 125% since the start of the year.
The development comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient found in popular weight loss and diabetes medications, Ozempic and Wegovy, which are produced by Novo Nordisk. The company is selling a month’s supply of this weight loss medication for $199, significantly cheaper than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 price.
The limited availability of these sought-after and high-priced brand name drugs has prompted several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications that are currently in shortage.
Compounding involves customizing an approved drug by a licensed pharmacist or physician to address the particular needs of individual patients. While the Food, Drug, and Cosmetic Act generally prohibits the compounding of drugs that simply replicate commercially available medications, those deemed to be in shortage do not fall under the U.S. Food and Drug Administration’s (FDA) definition of commercially available.
Schultz stated in an interview with Bloomberg that the company envisions a “long future” in offering compounded semaglutide. When asked whether pharmacies would still be able to produce compounded semaglutide after shortages are resolved, Schultz indicated confidence that there would continue to be scenarios where patients require personalized prescriptions.