Telehealth platform Hims & Hers announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors. Schultz, who has over 25 years of experience in the pharmaceutical industry and currently serves as the CEO of Teva Pharmaceutical, praised Hims & Hers for its innovative approach to healthcare.
He stated, “Hims & Hers is on a trajectory to upend the healthcare industry… I’m thrilled to be a part of this journey.” Following the announcement, Hims & Hers stock rose by 3% during Monday morning trading and has increased 125% since the beginning of the year.
This news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, both produced by Novo Nordisk. Hims & Hers is selling a month’s supply of this weight loss medication for $199, significantly lower than the list prices of Ozempic and Wegovy, which are nearly $1,000 and $1,349 respectively.
The demand for these high-cost medications has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act. This provision allows the sale of compounded versions of drugs that are in shortage. Compounding is the customization of an approved drug by licensed pharmacists or physicians to address individual patient needs.
While the Food, Drug, and Cosmetic Act usually prohibits the compounding of drugs that are mere replicas of commercially available medications, the FDA does not classify drugs in shortage as commercially available. Schultz expressed confidence in the long-term prospects of Hims & Hers, particularly in selling compounded semaglutide, indicating that there will still be a need for tailored prescriptions even after shortages are resolved.