Hims & Hers, a telehealth platform aimed at millennials, has announced the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors. Schultz, who has spent over 25 years at the Danish pharmaceutical company known for its diabetes and obesity treatments, is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm about 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.” Hims & Hers’ stock saw a 3% increase during Monday morning trading, marking a 125% rise since the start of the year.
The announcement follows Hims & Hers’ decision to offer a compounded version of semaglutide, the active ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, which are manufactured by Novo Nordisk. Hims & Hers is providing a month’s supply of this weight loss medication at a price of $199, significantly less than the nearly $1,000 price tag for Ozempic and $1,349 for Wegovy.
The high demand and limited availability of these brand name drugs have led various telehealth platforms to leverage a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during shortages. Compounding involves customizing an approved drug to meet individual patient needs by a licensed pharmacist or physician.
While the Food, Drug, and Cosmetic Act typically prohibits the compounding of drugs that replicate commercially available medications, the FDA does not classify those in shortage as commercially available. Schultz indicated to Bloomberg that he believes Hims & Hers has a “long future” in selling compounded semaglutide and added that he is confident pharmacies will continue providing this service even after shortages are resolved, as patients often require specific prescriptions.