Telehealth platform Hims & Hers announced on Monday the appointment of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, where he served in various roles, including president and chief operating officer. He is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm about 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’ stock rose by 3% in morning trading and has seen an increase of 125% since the start of the year.
This development comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in the widely used diabetes and weight loss drugs Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers sells a month’s supply of this weight loss medication for $199, significantly lower than the nearly $1,000 price of Ozempic and the $1,349 for Wegovy.
The high demand and limited availability of these branded medications have led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, which allows the sale of compounded versions of drugs when they are in shortage. Compounding involves customizing an approved drug by a licensed pharmacist or physician to cater to the specific needs of a patient.
Typically, the law prohibits compounding of drugs that are simply replicas of commercially available medications. However, the FDA does not classify drugs that are in shortage as commercially available.
Schultz mentioned to Bloomberg that the company anticipates a “long future” in providing compounded semaglutide, and expressed confidence that compounding will continue even after the shortages, as some patients will still require individualized prescriptions.