Hims & Hers, a telehealth platform that predominantly appeals to millennials, has announced the addition of Kåre Schultz, a seasoned executive from Novo Nordisk, to its board of directors. This strategic move was revealed on Monday.
Kåre Schultz boasts over 25 years of experience in the pharmaceutical sector, having held various positions at Novo Nordisk, a company renowned for its diabetes and obesity treatments, including president and chief operating officer. He is presently the CEO of Teva Pharmaceutical.
In a statement, 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 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 saw a 3% increase in its stock during Monday morning trading, contributing to a remarkable 125% rise since the start of the year.
This development arrives shortly after Hims & Hers began providing customers with a compounded version of semaglutide, the active ingredient in popular diabetes and weight loss medications, Ozempic and Wegovy, both developed by Novo Nordisk. Hims & Hers offers a month’s supply of the weight loss medication for $199, significantly less than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349.
The current shortage of these expensive brand-name drugs has prompted several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications in such situations. Compounding refers to the customization of an approved drug by a licensed pharmacist or physician to suit individual patient needs.
While the FDA typically restricts the compounding of drugs that replicate available products, medications deemed to be in shortage are not classified as commercially available. Schultz reassured Bloomberg that Hims & Hers sees sustained potential in providing compounded semaglutide, indicating that individualized prescriptions will continue to exist despite the resolution of shortages.
This positive trajectory for Hims & Hers underscores a broader trend in the healthcare industry, where innovation and accessibility are becoming increasingly intertwined, promising better health solutions for all consumers.
In summary, Hims & Hers’ partnership with Kåre Schultz signifies its commitment to reshaping healthcare delivery, enhancing access to essential medications while emphasizing affordability. This strategic direction not only aligns with current market needs but also positions the company favorably for future growth.