Hims & Hers, a telehealth platform focused on millennials, announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz has spent more than 25 years with the Danish pharmaceutical company, which is renowned for its diabetes and obesity treatments, holding various senior positions including president and chief operating officer. He currently leads Teva Pharmaceutical as CEO.
In a press release, Schultz expressed his enthusiasm for joining Hims & Hers, stating, “Hims & Hers is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical industry, this is the first company I have seen that is leveraging 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 increased by 3% during morning trading, reflecting a significant rise of 125% since the start of the year.
This news follows Hims & Hers’ recent introduction of a compounded version of semaglutide, the active ingredient found in popular diabetes and weight loss medications Ozempic and Wegovy, both of which are manufactured by Novo Nordisk. Hims & Hers offers a month’s supply of this weight loss medication for $199, significantly cheaper than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 price.
The scarcity of these high-demand branded drugs has led various telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during shortages. Compounding involves tailoring an approved drug by a licensed pharmacist or physician to suit the specific requirements of a patient.
While the Food, Drug, and Cosmetic Act typically restricts the compounding of drugs that replicate commercially available medications, drugs deemed in short supply do not fall under the U.S. Food and Drug Administration’s (FDA) definition of readily available products.
In an interview with Bloomberg on Monday, Schultz indicated Hims & Hers’ commitment to selling compounded semaglutide, emphasizing that even after shortages are resolved, there will still be scenarios requiring individualized prescriptions, alleviating any concerns regarding the continued availability of compounded versions.