Hims & Hers, a telehealth platform catering to millennials, announced on Monday the addition of Kåre Schultz to its board of directors. Schultz is a veteran executive from Novo Nordisk, where he spent over 25 years in various roles, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm about joining Hims & Hers, stating, “Hims & Hers is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical industry, this is the first company I have seen that is leveraging today’s modern tools to break down barriers and change the way people access health solutions. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers saw its stock rise by 3% during Monday morning trading, with shares up 125% since the start of the year.
This development comes after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in Novo Nordisk’s well-known diabetes and weight loss medications, Ozempic and Wegovy. The company is marketing a month’s supply of the weight loss drug for $199, significantly lower than the nearly $1,000 price tag for Ozempic and $1,349 for Wegovy.
The ongoing shortages of these popular brand-name drugs have led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications in short supply. Compounding involves customizing an FDA-approved drug by a state-licensed pharmacist to meet individual patient needs.
Although the law generally prohibits the compounding of drugs that mirror commercially available medications, the FDA does not classify drugs that are in shortage as commercially available.
In an interview with Bloomberg, Schultz highlighted the long-term potential for Hims & Hers in the compounded semaglutide market. When asked about the future availability of compounded semaglutide post-shortages, he assured that there would still be a need for individualized prescriptions, alleviating any concerns he might have.