Hims & Hers, a telehealth platform targeting millennials, announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company known for its diabetes and obesity medications, having served as president and chief operating officer. He currently holds the position of CEO at Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for 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. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers saw its stock rise by 3% during Monday morning trading, marking a 125% increase since the start of the year.
This news comes on the heels of Hims & Hers beginning to offer a compounded version of semaglutide, the active ingredient in widely-used diabetes and weight loss medications Ozempic and Wegovy, both developed by Novo Nordisk. Hims & Hers provides a month’s supply of the weight loss medication for $199, significantly less than Ozempic’s almost $1,000 price and Wegovy’s price of $1,349.
Due to the limited availability of these popular and expensive brand-name drugs, several telehealth platforms have utilized a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of drugs that are in short supply. Compounding involves customizing an approved drug by a state-licensed pharmacist or physician to cater to the specific needs of individual patients.
While the Food, Drug, and Cosmetic Act generally prohibits the compounding of drugs that are simply replicas of commercially available options, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
On Monday, Schultz informed Bloomberg that the company envisions a “long future” in the sale of compounded semaglutide. When asked about the ability of pharmacies to continue producing compounded semaglutide once shortages resolve, Schultz remained optimistic, citing ongoing cases where patients would require personalized prescriptions.