Telehealth platform Hims & Hers announced on Monday the addition of Kåre Schultz, a veteran executive from 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 treatments, where he held various positions including president and chief operating officer. He is currently serving as the CEO of Teva Pharmaceutical.
Schultz expressed enthusiasm for Hims & Hers, stating, “This is the first company I have seen that is leveraging modern tools to truly break down barriers and change the status quo of how people access health solutions.” He looks forward to being part of the company’s transformative journey in healthcare.
Following the announcement, Hims & Hers shares saw a 3% increase in morning trading and have surged by 125% since the start of the year.
This news coincides with Hims & Hers recently launching a compounded version of semaglutide, the same active ingredient found in the diabetes and weight loss medications Ozempic and Wegovy, produced by Novo Nordisk. The company offers the compounded medication at $199 for a monthly supply, significantly lower than Ozempic’s list price of nearly $1,000 and Wegovy’s price of $1,349.
The demand for these high-priced brand name drugs has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during supply shortages. Compounding involves customizing a medication by a licensed pharmacist or physician to meet an individual patient’s needs.
Generally, the Food, Drug, and Cosmetic Act restricts the compounding of 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 mentioned to Bloomberg that the company sees a “long future” in selling compounded semaglutide. When asked about the availability of compounded semaglutide once shortages end, he expressed confidence that there would still be a need for individualized prescriptions.