Hims & Hers, a telehealth platform aimed at millennials, has announced the appointment of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors. The announcement was made on Monday.
Schultz has an extensive background, having spent over 25 years with the Danish pharmaceutical company known 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, “Hims & Hers is on a trajectory to upend the healthcare industry. In my long career in the pharmaceutical industry, 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 saw a 3% increase during Monday morning trading, bringing the stock up 125% since the start of the year.
This news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient found in popular diabetes and weight loss medications such as Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is selling this month’s supply of the compound for $199, significantly less than Ozempic’s nearly $1,000 retail price and Wegovy’s $1,349.
The ongoing supply shortages of these high-demand brand name drugs have prompted several telehealth companies to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications when there are shortages. Compounding involves customizing an approved drug by a licensed pharmacist or physician to cater to the unique needs of an individual patient.
While the FDA generally prohibits compounding drugs that are merely copies of commercial medications, drugs that are in shortage are not classified as commercially available. Schultz remarked to Bloomberg that the company has a “long future” in the sale of compounded semaglutide, indicating confidence that pharmacies will continue to be able to provide compounded versions even after shortages are resolved, as individualized prescriptions will still be necessary.