Telehealth platform Hims & Hers announced the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors on Monday.
With over 25 years of experience at the Danish pharmaceutical firm, known for its focus on diabetes and obesity treatments, Schultz has held various leadership positions, 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 shares rose by 3% during Monday morning trading and have appreciated 125% since the year’s start.
The news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active component in the widely used diabetes and weight loss medications Ozempic and Wegovy, both produced by Novo Nordisk. The company is retailing a month’s supply of this weight loss drug at $199, significantly lower than Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349.
The high demand and limited availability of these branded drugs have prompted several telehealth companies to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications during shortages. Compounding involves creating customized versions of approved medications by a licensed pharmacist or physician to cater to individual patient needs.
Generally, the Food, Drug, and Cosmetic Act prohibits the compounding of drugs that are merely copies of existing commercially available products. However, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
Schultz mentioned in an interview with Bloomberg that the company envisions a long-term future in offering compounded semaglutide. He added that he is confident pharmacies will continue to provide compounded semaglutide even after the current shortages are resolved, as individualized prescriptions will still be necessary for patients.