Hims & Hers, a telehealth platform aimed at millennials, announced on Monday that Kåre Schultz, a veteran executive from Novo Nordisk, has been appointed to its board of directors.
Schultz has over 25 years of experience with the Danish pharmaceutical company, primarily known for its diabetes and obesity treatments, where he held various positions, including president and chief operating officer. Currently, he serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining 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.”
Following the announcement, Hims & Hers shares rose by 3% during Monday morning trading and are up 125% since the start of the year.
This news comes just months after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in well-known diabetes and weight loss medications Ozempic and Wegovy, both developed by Novo Nordisk. The company is currently selling a month’s supply of this weight loss medication for $199, significantly less than Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349.
The rising prices and limited availability of these brand-name drugs have prompted several telehealth platforms to capitalize on a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications experiencing shortages. Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet the specific needs of individual patients.
While typically, the Food, Drug, and Cosmetic Act restricts compounding drugs that replicate commercially available medications, the FDA does not classify drugs that are in shortage as commercially available.
In a conversation with Bloomberg on Monday, Schultz highlighted that the company envisions a “long future” in providing compounded semaglutide. When asked about the sustainability of producing compounded semaglutide after shortages resolve, Schultz indicated confidence, noting that there will still be instances where patients require tailored prescriptions.