Telehealth platform Hims & Hers announced the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors on Monday. Schultz, who has over 25 years of experience at the Danish pharmaceutical company, including roles as president and chief operating officer, currently serves as 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 saw a 3% increase in stock value during morning trading, and shares have surged 125% since the start of the year.
This development comes on the heels of Hims & Hers offering a compounded version of semaglutide, the key ingredient in popular drugs Ozempic and Wegovy, which are produced by Novo Nordisk. Hims & Hers is providing a month’s supply of the weight loss medication for $199, a significant discount compared to Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349.
The ongoing shortages of these high-demand medications have prompted various telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, allowing them to sell compounded versions of medicines that are in short supply. Compounding involves customizing an approved drug to meet the specific needs of individual patients.
Although the FDA typically prohibits compounding drugs that are merely copies of available medications, those that are in shortage are not classified as commercially available. Schultz indicated to Bloomberg that Hims & Hers intends to maintain a long-term strategy in selling compounded semaglutide, and he expressed confidence that the need for individualized prescriptions will continue even after shortages are resolved.