Hims & Hers, a telehealth platform aimed primarily at millennials, announced on Monday that it has welcomed Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors. Schultz brings more than 25 years of experience in the pharmaceutical industry, having previously served as president and chief operating officer at Novo Nordisk, a company renowned for its diabetes and weight loss medications. Currently, he is the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining Hims & Hers, stating, “The company is on a trajectory to upend the healthcare industry.” He acknowledged the unique approach Hims & Hers is taking by leveraging modern technology to improve access to healthcare solutions, emphasizing the potential for positive change in how individuals obtain the health services they require to lead fulfilling lives.
Following the announcement, Hims & Hers experienced a surge in its stock, rising 3% during Monday morning trading and accumulating a remarkable 125% increase since the start of the year. This news coincides with Hims & Hers’ recent venture into offering compounded versions of semaglutide—a key ingredient in the well-known diabetes and weight-loss medications Ozempic and Wegovy, produced by Novo Nordisk. Priced at $199 for a month’s supply, Hims & Hers’ version is significantly more affordable compared to the nearly $1,000 and $1,349 prices for Ozempic and Wegovy, respectively.
The high demand and limited availability of these brand-name drugs have prompted several telehealth platforms, including Hims & Hers, to utilize a section of the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications in cases of shortage. Compounding involves state-licensed pharmacists or physicians customizing approved drugs to address individual patient needs.
While the FDA typically prohibits pharmacies from compounding drugs that are identical to commercially available versions, compounded medications that are currently in short supply are not considered commercially available. Schultz reassured that the future of compounded semaglutide sales remains bright, as there will continue to be instances where patients require personalized prescriptions, even after the shortages are resolved.
This strategic move by Hims & Hers and the addition of a highly experienced industry leader like Schultz mark a pivotal point in the company’s growth, showcasing its commitment to making healthcare more accessible and affordable.
In summary, Hims & Hers is not only expanding its leadership with industry veterans, but also innovatively addressing the pressing healthcare challenges related to medication accessibility. As the company continues to navigate this dynamic landscape, it holds promise for creating lasting impacts in the healthcare industry.