Telehealth platform Hims & Hers announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at Novo Nordisk, a prominent pharmaceutical company known for its diabetes and obesity treatments, where he held various positions including president and chief operating officer. He is presently the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm about joining Hims & Hers, stating, “This is the first company in my long career in the pharmaceutical industry that is using modern tools to truly break down barriers and change the status quo of how people access the health solutions they need.” He highlighted the company’s mission to revolutionize healthcare delivery.
Following the announcement, Hims & Hers stock saw a 3% increase in Monday morning trading, with shares rising 125% since the start of the year.
This development comes shortly after Hims & Hers began offering customers 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 sells a month’s supply of this weight loss medication for $199, significantly lower than the nearly $1,000 price for Ozempic and $1,349 for Wegovy.
The current shortage of these highly sought-after brand-name drugs has prompted several telehealth services to utilize a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during shortages. Compounding involves customizing a registered medication by a licensed pharmacist or physician to meet the unique needs of a patient.
Generally, the Food, Drug, and Cosmetic Act prohibits producing compounded versions of commercially available drugs; however, the U.S. Food and Drug Administration (FDA) categorizes drugs in shortage as not commercially available.
In a conversation with Bloomberg on Monday, Schultz indicated confidence in the company’s continued success in offering compounded semaglutide. He posited that even after shortages are addressed, pharmacies will still be able to provide compounded semaglutide for patients requiring personalized prescriptions.