Hims & Hers, a telehealth platform focused on millennials, announced the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors on Monday.
Schultz has over 25 years of experience with the Danish pharmaceutical company, renowned for its diabetes and obesity treatments, where he held various positions, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining Hims & Hers, stating, “The company is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical sector, this is the first organization I have seen leveraging modern tools to dismantle barriers and change how people access essential health solutions for a fulfilling life. I’m excited to be part of this journey.”
Following the announcement, Hims & Hers saw a 3% increase in stock during morning trading, with shares rising 125% since the start of the year.
This news follows Hims & Hers’ introduction of a compounded version of semaglutide, the active ingredient in the popular diabetes and weight loss medications Ozempic and Wegovy, which are produced by Novo Nordisk. Hims & Hers is offering a month’s supply of the weight loss medication for $199, significantly lower than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349 price.
The shortage of these high-demand, expensive brand-name medications has led various telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications that are in shortage. Compounding involves customizing an approved drug by a licensed pharmacist or physician to suit an individual patient’s needs.
Typically, the Food, Drug, and Cosmetic Act restricts the compounding of drugs that are mere replicas of commercially available medications. However, when drugs are classified as being in shortage, they are not deemed commercially available by the U.S. Food and Drug Administration (FDA).
In an interview with Bloomberg, Schultz affirmed that the company envisions a “long future” in providing compounded semaglutide. He expressed confidence that even after shortages resolve, pharmacies will still be able to make compounded semaglutide for patients requiring personalized prescriptions.