Hims & Hers, a telehealth platform catering to millennials, announced on Monday the appointment of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors.
Schultz, who has over 25 years of experience at the Danish pharmaceutical company renowned for its diabetes and obesity treatments, has held various positions including president and chief operating officer. He is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz remarked, “Hims & Hers is on a trajectory to upend the healthcare industry. In my extensive career in the pharmaceutical sector, this is the first company I have seen that is using modern tools to dismantle barriers and change how people access essential health solutions for better living. I’m excited to be a part of this journey.”
On Monday morning, Hims & Hers’ stock rose by 3%, and the company’s shares have increased by 125% since the start of the year.
This development comes shortly after Hims & Hers introduced a compounded version of semaglutide, the active ingredient in well-known diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is offering a month’s supply of the weight loss drug for $199, significantly lower than Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349 price.
The scarcity of these highly sought-after brand-name medications has prompted several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act permitting the sale of compounded versions of drugs in shortage. Compounding involves customizing an approved medication by a licensed pharmacist or physician to meet an individual patient’s needs.
While the Food, Drug, and Cosmetic Act generally prohibits compounding drugs that are mere replicas of commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
In an interview with Bloomberg, Schultz expressed confidence in the company’s “long future” in selling compounded semaglutide. When asked about the availability of compounded semaglutide after shortages cease, Schultz indicated he was not concerned due to the ongoing demand for personalized prescriptions.