Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors. Schultz has an extensive background in the pharmaceutical industry, with over 25 years at Novo Nordisk, 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 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 stock rose by 3%, reflecting a year-to-date increase of 125%. This development arrives shortly after Hims & Hers began offering a compounded version of semaglutide, the active component in well-known diabetes and weight-loss medications, Ozempic and Wegovy, which are manufactured by Novo Nordisk. Hims & Hers provides a month’s supply of the weight-loss medication for $199, significantly lower than Ozempic’s nearly $1,000 and Wegovy’s $1,349 list prices.
The high demand for these brand-name drugs has led several telehealth services to leverage a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications that are in shortage. Compounding involves adjusting an approved drug by a licensed pharmacist or physician to meet specific patient needs.
While the Food, Drug, and Cosmetic Act generally prohibits the compounding of drugs that are mere copies of commercially available medications, the U.S. Food and Drug Administration (FDA) does not categorize drugs in shortage as commercially available.
Schultz informed Bloomberg that Hims & Hers has a promising future in offering compounded semaglutide. He reassured that even after the shortages are resolved, there will still be scenarios where individualized prescriptions are necessary.