Telehealth platform Hims & Hers has announced the appointment of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors. Schultz has extensive experience in the pharmaceutical industry, having spent over 25 years at the Danish company 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 about 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’ stock rose by 3% during Monday morning trading, reflecting a significant increase of 125% since the start of the year.
This development comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in the popular diabetes and weight loss medications Ozempic and Wegovy, manufactured by Novo Nordisk. The telehealth company is selling a month’s supply of this weight loss medication for $199, considerably lower than Ozempic’s list price of nearly $1,000 and Wegovy’s price tag of $1,349.
The shortage of these sought-after brand name drugs has enabled several telehealth platforms to utilize a provision of the Food, Drug, and Cosmetic Act, which allows for the sale of compounded medications that are in shortage. Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet specific patient needs.
Normally, the Food, Drug, and Cosmetic Act restricts compounding drugs that replicate commercially available medications. However, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
Schultz assured Bloomberg that Hims & Hers has a promising future in providing compounded semaglutide. When inquired about the continued ability of pharmacies to produce compounded semaglutide once shortages are resolved, he indicated that there would still be circumstances requiring personalized prescriptions.