Hims & Hers, the telehealth platform popular among millennials, announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at Novo Nordisk, a leading pharmaceutical company known for its diabetes and obesity treatments, where he held various positions including president and chief operating officer. He is currently the CEO of Teva Pharmaceutical.
Expressing enthusiasm about joining Hims & Hers, Schultz stated, “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, with shares increasing by 125% since the start of the year.
This update comes on the heels of Hims & Hers introducing a compounded version of semaglutide, the primary ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, both produced by Novo Nordisk. The company offers a month’s supply of the weight loss treatment for $199, significantly lower than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349.
Amid shortages of these sought-after and high-priced brand-name drugs, various telehealth platforms, including Hims & Hers, are utilizing a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications in short supply. Compounding involves customizing an approved medication by a licensed pharmacist or physician to cater to individual patient needs.
While the Food, Drug, and Cosmetic Act generally restricts the compounding of drugs that replicate commercially available medications, the U.S. Food and Drug Administration (FDA) does not classify drugs deemed to be in shortage as commercially available.
In a conversation with Bloomberg, Schultz mentioned that the company envisions a “long future” in selling compounded semaglutide. He expressed confidence that pharmacies would continue to provide compounded semaglutide even after the shortages are resolved, highlighting the ongoing need for individualized prescriptions.