Hims & Hers, a telehealth platform catering to millennials, announced on Monday the appointment of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, renowned for its diabetes and obesity treatments, where he held roles including president and chief operating officer. He is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm for joining 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.”
Following the announcement, Hims & Hers stock climbed by 3% during Monday morning trading, marking a 125% increase since the start of the year.
This development comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in popular medications for diabetes and weight loss, Ozempic and Wegovy, both developed by Novo Nordisk. Hims & Hers markets a month’s supply of this weight loss medication at $199, significantly lower than Ozempic’s nearly $1,000 price and Wegovy’s $1,349 cost.
The limited availability of these high-demand brand-name drugs has prompted various telehealth platforms to utilize a provision of the Food, Drug, and Cosmetic Act, allowing the sale of compounded medications when there is a shortage.
Compounding involves customizing an approved drug by a state-licensed pharmacist or physician to meet the specific requirements of an individual patient. Although the Food, Drug, and Cosmetic Act generally prohibits compounding drugs that merely replicate commercially available medications, those considered in shortage are deemed not commercially available by the U.S. Food and Drug Administration (FDA).
Schultz also shared with Bloomberg that Hims & Hers envisions a “long future” in offering compounded semaglutide. When questioned about the potential for pharmacies to continue producing compounded semaglutide after shortages are resolved, Schultz indicated that he remains unconcerned, noting there will still be instances where patients require tailored prescriptions.