Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company known for its diabetes and obesity treatments, where he held various positions, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for Hims & Hers, stating, “This company 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 this announcement, Hims & Hers stock increased by 3% in morning trading, with shares up 125% since the start of the year.
The news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in the well-known diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers provides a month’s supply of this weight loss medication for $199, significantly less than the nearly $1,000 price tag for Ozempic and the $1,349 cost for Wegovy.
The high demand for these expensive medications has prompted several telehealth platforms to leverage a provision of the Food, Drug, and Cosmetic Act that allows for the sale of compounded versions of drugs that are in shortage. Compounding refers to the customization of an approved drug by a licensed pharmacist or physician to suit the specific needs of individual patients.
While the Food, Drug, and Cosmetic Act generally prohibits compounding drugs that replicate commercially available medications, the FDA does not classify drugs in shortage as commercially available.
Schultz mentioned to Bloomberg that the company sees a “long future” in selling compounded semaglutide. Regarding the continuation of compounded semaglutide after shortages are resolved, he assured that there would still be circumstances requiring individualized prescriptions.