Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the addition of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, known for its diabetes and obesity treatments, where he held various high-level positions including president and chief operating officer. He is currently 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 this announcement, Hims & Hers shares rose by 3% in Monday morning trading, reflecting a remarkable 125% increase since the start of the year.
This news follows Hims & Hers’ recent launch of a compounded version of semaglutide, the active ingredient in the well-known diabetes and weight loss drugs Ozempic and Wegovy, manufactured by Novo Nordisk. The company is pricing a month’s supply of this weight loss medication at $199, significantly lower than Ozempic’s approximate $1,000 and Wegovy’s $1,349 retail prices.
The demand for these high-cost brand-name medications has prompted several telehealth platforms, including Hims & Hers, to utilize a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during shortages. Compounding involves customizing an approved drug by a licensed pharmacist or physician to fit a patient’s unique needs.
Though the Food, Drug, and Cosmetic Act generally prohibits pharmacists from compounding exact copies of commercially available drugs, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
In comments to Bloomberg, Schultz noted that Hims & Hers has a “long future” ahead in the market for compounded semaglutide. When questioned about the future of compounded semaglutide sales after the shortages are resolved, Schultz expressed confidence that the need for individualized prescriptions would continue to exist.