Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the addition of Kåre Schultz, a former executive from Novo Nordisk, to its board of directors. Schultz has a notable background, having spent over 25 years at the Danish pharmaceutical company, where he held various positions, including president and chief operating officer. Currently, he serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for joining 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.” He noted the potential of Hims & Hers to transform the healthcare industry.
Following the announcement, Hims & Hers shares saw a 3% increase in morning trading, marking a 125% rise since the start of the year. This news comes shortly after the company began offering a compounded version of semaglutide, the active ingredient found in Novo Nordisk’s popular diabetes and weight loss medications, Ozempic and Wegovy.
Hims & Hers is pricing a month’s supply of this weight loss medication at $199, significantly lower than the nearly $1,000 price for Ozempic and $1,349 for Wegovy.
The recent shortages of these sought-after brand-name drugs have prompted several telehealth platforms to capitalize on a provision in 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.
Typically, the law restricts the compounding of medications that are merely duplicates of commercially available products, but the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available. Schultz conveyed to Bloomberg that the company envisions a “long future” in selling compounded semaglutide, indicating that individualized prescriptions will still be necessary even after shortages are resolved.