Telehealth company Hims & Hers announced the addition of Kåre Schultz, a former executive from Novo Nordisk, to its board of directors. Schultz, who has over 25 years of experience in the pharmaceutical industry, currently serves as the CEO of Teva Pharmaceutical. He praised Hims & Hers for its innovative approach to healthcare, stating that it aims to dismantle traditional barriers to accessing necessary health solutions.
Following the announcement, Hims & Hers’ stock rose by 3% in morning trading, marking a 125% increase since the start of the year. This development comes after the company began offering a compounded version of semaglutide, the active ingredient in widely used diabetes and weight loss medications, Ozempic and Wegovy, produced by Novo Nordisk.
Hims & Hers is pricing its month’s supply of the weight loss medication at $199, significantly lower than the nearly $1,000 or $1,349 prices of Ozempic and Wegovy, respectively. The scarcity of these high-demand medications has led telehealth platforms to utilize a provision of the Food, Drug, and Cosmetic Act, which allows the sale of compounded medications in short supply.
Compounding involves customizing an approved drug by a licensed pharmacist or physician to suit individual patient needs. While typically restricted from creating drugs that replicate commercially available medications, the law does not classify drugs deemed in shortage as commercially available, allowing for this practice. Schultz expressed confidence in the future of selling compounded semaglutide, affirming that there will continue to be a need for individualized prescriptions even after shortages are resolved.