Hims & Hers, a telehealth platform catering to millennials, announced the appointment of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors on Monday.
Schultz has over 25 years of experience at Novo Nordisk, renowned for its diabetes and obesity treatments, where he held various senior 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’ potential to transform the healthcare landscape. “This is the first company I’ve encountered in my extensive career in the pharmaceutical sector that is effectively utilizing modern tools to dismantle barriers and redefine the way individuals access essential health solutions,” he stated.
Following the announcement, Hims & Hers saw a 3% increase in its stock price during morning trading, contributing to a remarkable 125% rise since the start of the year.
This news arrives shortly after Hims & Hers began offering compounded semaglutide, the active ingredient in well-known diabetes and weight loss medications Ozempic and Wegovy, which are both produced by Novo Nordisk. The company is offering a month’s supply of this weight loss medication for $199, significantly less than the list prices of Ozempic, nearly $1,000, and Wegovy, at $1,349.
The high demand and limited availability of these expensive brand-name drugs have led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medication in cases of shortages.
Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet the specific needs of individual patients. While the Food, Drug, and Cosmetic Act generally prohibits compounding drugs that replicate commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify those in shortage as commercially available.
Schultz shared with Bloomberg that Hims & Hers anticipates a “long future” in offering compounded semaglutide. When questioned about the future availability of compounded semaglutide once shortages are resolved, he expressed confidence that there will still be a demand for personalized prescriptions.