Hims & Hers, a telehealth platform aimed at millennials, announced the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors on Monday.
Schultz has over 25 years of experience at Novo Nordisk, where he held various positions such as president and chief operating officer, and is currently the CEO of Teva Pharmaceutical. He expressed enthusiasm about joining Hims & Hers, noting that the company is set to revolutionize healthcare by using modern tools to improve access to health solutions.
Following the announcement, Hims & Hers’ stock rose by 3%, and the company has seen an increase of 125% in its shares since the start of the year. This comes on the heels of Hims & Hers offering a compounded version of semaglutide, the active ingredient in Novo Nordisk’s Ozempic and Wegovy diabetes and weight loss drugs. The company provides a month’s supply of this medication at $199, significantly lower than Ozempic’s near $1,000 list price and Wegovy’s $1,349.
The growing demand for these high-cost brand-name medications has prompted telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications that are in short supply. Compounding involves customizing approved drugs to meet the specific needs of patients.
While the act generally prohibits compounding drugs that mimic commercially available medications, the FDA does not classify drugs in shortage as commercially available. Schultz mentioned to Bloomberg that Hims & Hers has a promising future in selling compounded semaglutide, and he remains confident that the need for individualized prescriptions will continue beyond current shortages.