Hims & Hers, a telehealth platform focused on 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 the Danish pharmaceutical company, which is known for its diabetes and obesity treatments, where he held positions including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
In a press statement, Schultz expressed enthusiasm about Hims & Hers, stating, “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 shares rose by 3% during morning trading, marking a remarkable 125% increase since the start of the year.
This development comes on the heels of Hims & Hers beginning to offer a compounded version of semaglutide, the key ingredient in popular diabetes and weight loss medications such as Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is providing a month’s supply of the weight loss drug for $199, significantly less than Ozempic’s nearly $1,000 price and Wegovy’s $1,349 cost.
The limited availability of these sought-after and high-priced brand-name drugs has prompted several telehealth companies to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded drugs that are currently in shortage. This process involves customizing an approved drug by a licensed pharmacist or physician to meet individual patient needs.
While the Food, Drug, and Cosmetic Act generally prohibits compounding medications that are merely replicas of commercially available ones, the FDA does not classify drugs in shortage as commercially available.
In a conversation with Bloomberg on Monday, Schultz noted that the company has a promising future in offering compounded semaglutide. He added that he doesn’t foresee any issues with pharmacies continuing to compound semaglutide even after shortages are resolved, highlighting that there will still be instances where patients require tailored prescriptions.