Telehealth platform Hims & Hers announced on Monday the addition of Kåre Schultz, a former long-time executive at Novo Nordisk, to its board of directors.
Schultz brings more than 25 years of experience from Novo Nordisk, a leading company known for its diabetes and obesity treatments, where he held various roles, including president and chief operating officer. Currently, he serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for joining Hims & Hers, highlighting the company’s innovative approach to transforming healthcare accessibility. “This is the first company I have seen that truly leverages modern tools to break down barriers and change the status quo of how people access the health solutions they need to live their fullest lives,” he stated.
Following the announcement, shares of Hims & Hers rose by 3%, contributing to a significant increase of 125% in stock value since the start of the year.
This development comes shortly after Hims & Hers began offering compounded versions of semaglutide, the active ingredient in the well-known diabetes and weight-loss medications Ozempic and Wegovy, which are manufactured by Novo Nordisk. The company is providing a month’s supply of the weight-loss drug for $199, a substantial discount compared to the nearly $1,000 price of Ozempic and the $1,349 for Wegovy.
The ongoing shortages of these popular drugs have led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications during shortages. Compounding involves customizing an approved drug by a state-licensed pharmacist or physician to cater to an individual patient’s needs.
While the act generally restricts the compounding of drugs that replicate commercially available medications, the FDA does not classify drugs that are in shortage as commercially available.
Schultz commented to Bloomberg that Hims & Hers sees a “long future” in selling compounded semaglutide. When queried about the prospect of pharmacies continuing to provide compounded semaglutide after the shortages are resolved, he expressed confidence that individualized prescriptions would still necessitate such services.