Hims & Hers, a telehealth platform aimed at millennials, announced the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors on Monday.
Schultz has more than 25 years of experience at Novo Nordisk, known for its diabetes and obesity treatments, where he held various leadership positions, including president and chief operating officer. He is currently serving as the CEO of Teva Pharmaceutical.
“Hims & Hers is on a trajectory to upend the healthcare industry,” Schultz stated in a press release. “In my long career in the pharmaceutical field, this is the first company I have seen harnessing modern tools to effectively dismantle barriers and revolutionize how individuals access essential health solutions to enhance their quality of life. I am excited to be part of this journey.”
Following the announcement, Hims & Hers shares rose by 3% during morning trading, reflecting a 125% increase since the start of the year.
This news comes shortly after Hims & Hers began offering a compounded version of semaglutide, an ingredient in popular diabetes and weight loss treatments Ozempic and Wegovy, manufactured by Novo Nordisk. The company sells a month’s supply of the weight loss medication for $199, significantly lower than the nearly $1,000 price for Ozempic and $1,349 for Wegovy.
The high demand and limited availability of these brand-name drugs have prompted several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, which allows for the sale of compounded versions of medications that are in short supply. Compounding involves tailoring an approved drug by a licensed pharmacist or physician to meet specific patient needs.
Although the Food, Drug, and Cosmetic Act generally prohibits the compounding of drugs that replicate commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
On Monday, Schultz told Bloomberg that Hims & Hers has a “long future” in the market for compounded semaglutide. When questioned about the future of pharmacies producing compounded semaglutide after the shortages end, Schultz expressed confidence that there will still be situations where patients require individualized prescriptions.