Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the appointment of Kåre Schultz to its board of directors. Schultz, a veteran of Novo Nordisk with over 25 years of experience, has held various roles including president and COO. He is currently the CEO of Teva Pharmaceutical.
In a press statement, 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 saw a 3% increase in its stock during morning trading, with a remarkable 125% rise since the start of the year.
This development occurs shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient found in well-known diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is selling a month’s supply of the weight loss treatment for $199, significantly lower than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 price.
The high demand for these brand-name drugs has encouraged several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications when there is a shortage. Compounding involves customizing an approved drug by state-licensed pharmacists or physicians to cater to individual patient needs.
While the Food, Drug, and Cosmetic Act generally prohibits copying commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify drugs that are in shortage as commercially available.
Schultz mentioned to Bloomberg that Hims & Hers has a promising future in selling compounded semaglutide. He expressed confidence that pharmacies would continue to provide compounded semaglutide even after shortages are resolved, highlighting the ongoing need for individualized prescriptions.